Bitcoin Price Analysis: BTC/USD Gaining Momentum Above $6,300

By Latika Mehrotra
Published September 18, 2018 Updated September 18, 2018
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Bitcoin Price Analysis: BTC/USD Gaining Momentum Above $6,300

By Latika Mehrotra
Published September 18, 2018 Updated September 18, 2018

Bitcoin price recovered nicely after testing the $6,190-6,200 support area against the US Dollar. BTC/USD is now trading nicely above $6,300 and it could test the $6,410 resistance.

Important points

  • Bitcoin jumped back after testing the $6,200 support zone.
  • BTC/USD could face resistance near a bearish trend line at $6,520 on the 2-hours chart.
  • BTC price cleared a short-term channel with resistance at $6,320 on the same chart.

Bitcoin price analysis

Bitcoin price dropped heavily recently after it broke the $6,450 support area against the US Dollar. BTC/USD declined below the $6,320 support and tested the next major support area near the $6,190-6,200 zone.

The 2-hours chart of BTC price found a strong buying interest above the $6,200 level and recovered heavily. The price gained traction and moved above the 23.6% Fib retracement level of the last decline from the $6,536 high to $6,202 low.

bitcoin
Chart sourced by TradingView, Binance

More importantly, bitcoin buyers were able to clear a short-term channel with resistance at $6,320. It opened the gates for more gains and the price is now approaching the next resistance at $6,369.

The $6,369 level is the 50% Fib retracement level of the last decline from the $6,536 high to $6,202 low. If the price breaks the $6,370 zone, there could be more gains towards the $6,400 zone where sellers could emerge since it is the 61.8% Fib retracement level of the last decline.

Moreover, the 100 simple moving average (2-hours) is also positioned near the $6,400 zone. Therefore, if the price continues to move higher, it could face sellers near the $6,400-6,410 region.

On the other hand, if there is a downside correction, the price may find support near the broken resistance near $6,320 and $6,300. Below these, the next major support is near the $6,240, which is the broken channel lower trend line.

Overall, bitcoin price is recovering nicely and if buyers succeeded in surpassing the $6,400-6,410 hurdle, there may perhaps be more upsides towards the $6,500 level in the short term. Above $6,500, the price could face resistance near a bearish trend line at $6,520 on the same chart.

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Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
About Author
Latika Mehrotra
71 Articles
Passionate about technology and science. Pursuing Doctorate in the field of Data Mining, Professor by profession and loves writing interesting articles about Cryptocurrencies, bitcoin, Ethereum, ripple, Forex and commodities. Reach out to her [email protected]

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