Reason to trust
How Our News is Made
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Ad discliamer
Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.
- Bitcoin price started a slow and steady recovery above $7,600 against the US Dollar.
- The price is currently above $7,700, but the bulls could struggle near $8,000 or $8,140.
- There is a crucial bearish trend line forming with resistance near $8,120 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could correct higher, but it might struggle to clear the $8,080 and $8,140 resistances.
Bitcoin price is slowly gaining pace above the $7,700 level against the US Dollar. BTC might continue higher, but the bulls are likely to struggle near $8,080, $8,140 and $8,200.
Bitcoin Price Analysis
After a strong decline, bitcoin price found support near $7,440 level against the US Dollar. The BTC/USD pair traded as low as $8,441 and recently started an upside correction. There was a break above the $7,550 and $7,600 resistance levels. The price is now trading above the $7,700 level, and the 23.6% Fib retracement level of the last decline from the $8,578 high to $7,440 swing low. There was a break above a connecting bearish trend line at $7,800 on the hourly chart.
On the upside, there are many important resistances near the $8,000, $8,010 and $8,080 levels. The 50% Fib retracement level of the last decline from the $8,578 high to $7,440 swing low is also near the $8,080 level to prevent gains. There is also a crucial bearish trend line forming with resistance near $8,120 on the hourly chart of the BTC/USD pair. Above the trend line, the 100 hourly simple moving average is near the $8,200 level to act as a strong resistance. Besides, the 61.8% Fib retracement level of the last decline from the $8,578 high to $7,440 swing low is at $8,140 to prevent gains.
Therefore, the price is likely to face a strong resistance near the $8,080 or $8,140 level. Moreover, a successful break above the $8,200 level is needed for a solid reversal in the coming sessions. On the downside, an initial support is near the $7,700, below which there is a risk of a fresh decline.
Looking at the chart, bitcoin price is showing a few positive signs above the $7,700 level. Having said that, if the price continues to rise, there are chances of it struggling near the $8,080 resistance. As long as the price is trading below the $8,080 and $8,200 levels, it is likely to trade in a range, with a few bearish moves.
Technical indicators:
Hourly MACD – The MACD is currently gaining pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently moving lower towards the 50 level.
Major Support Levels – $7,700 followed by $7,600.
Major Resistance Levels – $8,000, $8,080 and $8,140.
