Bitcoin Price Analysis: BTC/USD Trading Near Inflection Point

By Latika Mehrotra
Published October 15, 2018 Updated October 15, 2018
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Bitcoin Price Analysis: BTC/USD Trading Near Inflection Point

By Latika Mehrotra
Published October 15, 2018 Updated October 15, 2018

Bitcoin price surged higher and broke the $6,360 resistance against the US Dollar. BTC/USD spiked above $6,660, but it is still trading near a major inflection point.

Important points

  • Bitcoin false spiked above the $6,750 level after Tether declined sharply.
  • BTC/USD cleared a major bearish trend line with resistance at $6,360 on the 2-hours chart.
  • BTC price must settle above a significant resistance zone near $6,460 (the inflection point).

Bitcoin price analysis

There were heavy upsides noted in bitcoin price above the $6,660 level against the US Dollar. BTC/USDT rocketed higher after a sharp sell-off in Tether, which popped BTC/USD above the $6,750 level.

The 2-hour chart indicates that the price even surpassed the $6,780 level and tested the $6,800 level, where it was rejected. It seems like there was a false break above the $6,660 resistance since the price is back trading near a major resistance zone near $6,460 (the inflection point).

bitcoin
Chart sourced by TradingView, Bitstamp

During the rise, the price broke the 50% Fib retracement level of the last slide from the $6,661 high to $6,054 low. Moreover, there was a close above the $6,350 resistance and the 100 simple moving average (2-hours).

More importantly, the price cleared a major bearish trend line with resistance at $6,360 on the same chart. Having said that, the spike above the $6,660 seems to be false as the price is yet to settle above the 61.8% Fib retracement level of the last slide from the $6,661 high to $6,054 low.

As long as there is no close above the $6,460 and $6,518 resistance levels, it’s hard to consider the recent break as a bullish signal.

On the downside, the broken trend line as $6,350 and the 100 simple moving average (2-hours) are important supports. If bitcoin price fails to stay above these, there could be a fresh downside towards the $6,200 level in the near term.

Overall, bitcoin buyers need to gain momentum above the $6,460 level to push the price in a bullish zone. Above $6,460 and $6,518, the price may possibly make a real attempt to surpass the $6,660 resistance.

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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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