- Bitcoin price after a dip towards $1160 against the US Dollar found support and bounced sharply.
- A monster bullish trend line with support at $1660 on the 4-hours chart of BTC/USD (data feed from SimpleFX) acted as a barrier for sellers.
- The price bounced sharply and currently trading above the $1800 level.
Bitcoin price surged higher above $1800 against the US Dollar, and the current movement in BTC/USD looks very bullish for more gains in the near term.
Bitcoin Price Trend Line Support
It was a nasty week for Bitcoin price, as it continued to gain momentum above $1700 against the US Dollar. My view of continuing gains in BTC is playing well. Recently, the price traded close to the $1910 level from where a correction was initiated. The price traded below the 23.6% Fib retracement level of the last wave from the $1510 low to $1905 high.
On the downside, a monster bullish trend line with support at $1660 on the 4-hours chart of BTC/USD was waiting. It acted as a barrier for further declines below $1650 and pushed the price back higher. There was also a test of the 61.8% Fib retracement level of the last wave from the $1510 low to $1905 high. The price is now back above the $1800 level. It looks like a correction wave is over, and the price may soon retest the last swing high at $1905.
If all goes well, there is a chance of further gains above $1900. On the downside, we have two bullish trend lines at $1660 and $1610, which may continue to act as a support. The overall trend is bullish with a chance of BTC/USD testing $2000.
Looking at the technical indicators:
4-hours MACD – The MACD is currently gaining momentum in the bullish zone.
4-hours RSI (Relative Strength Index) – The RSI is now back above the 50 level and heading north.
Major Support Level – $1660
Major Resistance Level – $1900
Charts courtesy – SimpleFX