- Bitcoin gold price is slowly gaining pace and is currently above the $240 support against the US Dollar.
- There is a key contracting triangle forming with resistance at $280 on the hourly chart of BTG/USD (data feed from Bitfinex).
- The pair might consolidate in a range before making the next move above $280 in the near term.
Bitcoin gold price is consolidating above $240 against the US Dollar. BTG/USD may soon make the next move and trade above $280 to gain traction.
Bitcoin Gold Price Upside Hurdle
Recently, we saw a major decline in bitcoin gold price from the $420 resistance against the US Dollar. The price traded below the $400 and $300 support levels. The downside move was strong as the price declined below the $280 support as well. A low was formed at $193 from where the price started correcting higher. It has moved above the 23.6% Fib retracement level of the last decline from the $420 high to $193 low.
However, the price is struggling to gain momentum above the $280 and $300 levels. At the moment, it seems like there is a key contracting triangle forming with resistance at $280 on the hourly chart of BTG/USD. The pair might continue to consolidate above the $240 support area before making the next move. The triangle resistance is around the 38.2% Fib retracement level of the last decline from the $420 high to $193 low. Therefore, a close above the $280 level and the 100 hourly SMA is needed for buyers to gain traction.
On the downside, the $240 support area holds a lot of importance and it must hold to prevent further declines in the near term.
Looking at the technical indicators:
Hourly MACD – The MACD for BTG/USD is slightly placed in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTG/USD is currently just above the 50 level.
Major Support Level – $240
Major Resistance Level – $280
Charts courtesy – Trading View, Bitfinex