- Bitcoin is currently changing hands at $8,432 amid s building bullish momentum.
- The correction above $8,450 could encourage the bulls to increase their positions and send Bitcoin above 8,500.
Bitcoin end week rally is likely connected to Fundstrat latest prediction. An analyst from the firm says that Bitcoin had great potential for an upwards move towards $9,000. The prediction came at a time when Bitcoin was stuck in a tight range between $7,500 and $8,100.
BTC/USD 1-hour chart
The price crash on June 4 found support marginally above $7,400 before giving way for correction above $7,800. Eventually, Bitcoin extended the gains above $8,000 but struggled with resistance resulting in another drop under $8,000. New support at $7,800 sparked fresh interest in BTC as bulls increased their positions.
The second break above $8,000 not only jumped above $8,200 but also $8,300. The trading in the last two days formed a higher low pattern, in turn, completing the formation of the rising wedge pattern. The breakout from this pattern propelled Bitcoin above $8,400 for the first time this week establishing a new high at $8,450.
Bitcoin is currently changing hands at $8,432 amid s building bullish momentum. The Relative Strength Index (RSI) has corrected upwards from the average to levels slightly above 70.00. The upward sloping trend means that the bullish momentum still has the strength and BTC has the potential to break above the resistance at $8,450.
Support has been established at $8,200 (50 Simple Moving Average), $8,000, $7,800, $7,600 and $7,400 according to the 1-hour chart. On the upside, correction above $8,450 could encourage the bulls to increase their positions and send Bitcoin above 8,500.
Bitcoin Key Technical Indicators
RSI 1-hour: Upward slop hints further growth in the short-term.
SMA 50: Offering support at $8,200.
Support 1: $8,200
Support 2: $8,000
Support 3: $7,600
Resistance 1: $8,450
Resistance 2: $8,600
Resistance 3: $8,800