Bitcoin Price Analysis: BTC/USD Recovery Faces Significant Hurdle

Bitcoin Price Analysis

Bitcoin Price Analysis: BTC/USD Recovery Faces Significant Hurdle

Bitcoin price found support near $6,355 and recovered against the US Dollar. However, BTC/USD is currently facing a solid resistance near the $6,460-80 area.

Important Points:

  • Bitcoin price is struggling to break the $6,460-6,480 resistance zone.
  • BTC/USD is facing two major bearish trend lines with resistance near $6,460 on the 2-hours chart.
  • BTC could resume its decline if it fails to move above the $6,460 and $6,480 resistances.

Bitcoin Price Analysis

Recently, we discussed that bitcoin price turned short term bearish below the $6,510 support against the US Dollar. BTC/USD extended its decline below the $6,460 support and traded towards the $6,350 level.

The 2-hours chart indicates that the price settled below the $6,460 support and the 100 simple moving average (2-hours). It traded as low as $6,354 and later started an upward move above the $6,400 resistance level.

Bitcoin Price Analysis
Chart Source by Tradingview

Buyers pushed the price above the 23.6% Fib retracement level of the last downside leg from the $6,614 high to $6,354 low. However, the upside move was protected by the $6,460-6,480 area, which was a support earlier and now it is acting as a hurdle for buyers.

Furthermore, the price got rejected around the 100 simple moving average (2-hours) plus the 50% Fib retracement level of the last downside leg from the $6,614 high to $6,354 low.

More importantly, there are two major bearish trend lines in place with resistance near $6,460 on the same chart. Therefore, it seems like the $6,460-6,480 resistance area holds a lot of significance in the near term.

If buyers push the price above the $6,460-6,480 resistance and the 100 SMA, there could be more upsides above the $6,500 level. The next major resistance in the mentioned case could be $6,553 and the 76.4% Fib level.

On the other hand, if buyers fail to gain momentum above $6,480, the price may well decline once again. An initial support awaits near the $6,415 level, below which bitcoin price is likely to extend losses towards the last swing low of $6,354. The main support is close to $6,280 for the current technical structure.

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Bitcoin Price Analysis: BTC/USD Recovery Faces Significant Hurdle
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Bitcoin Price Analysis: BTC/USD Recovery Faces Significant Hurdle
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Bitcoin price found support near $6,355 and recovered against the US Dollar. However, BTC/USD is currently facing a solid resistance near the $6,460-80 area.
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Coingape
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Latika Mehrotra 59 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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