Bitcoin price gained traction recently and traded above the $6,510 resistance against the US Dollar. BTC/USD is following an uptrend and it could soon test $6,650 or $6,675.
- Bitcoin price broke a major resistance zone near the $6,510 level.
- BTC/USD surpassed a significant bearish trend line with resistance at $6,485 on the 4-hours chart.
- BTC price could correct lower towards $6,550 before climbing to a new weekly high.
Bitcoin Price Analysis
During the past three sessions, there were positive moves in bitcoin price above the $6,485 resistance against the US Dollar. BTC/USD gained bullish momentum and broke the $6,510 and $6,555 resistance levels.
The 4-hour chart indicates that the price formed a solid support at $6,430 and jumped above the $6,485 resistance and the 100 simple moving average (4-hours). It opened the doors for more gains and buyers pushed the price above the key $6,510 pivot level.
More importantly, there was a break above a significant bearish trend line with resistance at $6,485 on the same chart. The price even surpassed the $6,600 zone and traded as high as $6,617 recently before starting a bearish correction.
The BTC/USD pair is currently trading near the 23.6% Fib retracement level of the last wave from the $6,430 low to $6,617 high. The current price action is positive above $6,560, but there is a possibility of a downside drift towards the $6,525 or $6,510 support area.
There is also a bullish trend line in place with support at $6,540 on the same chart, below which the next support is the 50% Fib retracement level of the last wave from the $6,430 low to $6,617 high at $6,523.
Therefore, if the price continues to decline, there could be a strong buying interest near the $6,510-6,525 support zone. On the upside, an initial resistance is at $6,600, above which the price will most likely clear the $6,617 high.
The next hurdle for buyers above the recent high is near the $6,650 followed by $6,675. Overall, bitcoin price is placed nicely above $6,510 for more gains in the short term.
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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]