Reason to trust
How Our News is Made
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Ad discliamer
Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.
- Bitcoin price surged above the $5,800 level and traded to a new 2019 high against the US Dollar.
- The price traded as high as $5,837 on Kraken and recently corrected below the $5,600 level.
- This week’s followed two bullish trend lines are intact with support near $5,500 and $5,480 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair remains supported on dips and it is likely to bounce back above $5,650 in the near term.
Bitcoin price surged above the $5,700 and $5,800 resistance levels. BTC corrected lower recently, but dips remain attractive to the bulls near $5,500 in the near term.
Bitcoin Price Analysis
The past two days were very bullish on bitcoin price above the $5,500 resistance against the US Dollar. The BTC/USD pair broke the $5,650 and $5,700 resistance levels to trade to a new 2019 high. The pair even surged above the $5,800 level and settled well above the 100 hourly simple moving average. The price traded as high as $5,837 and recently started a downside correction. As a result, it broke the $5,650 level and the 50% Fib retracement level of the recent wave from the $5,372 low to $5,837 high.
However, there are many supports near the $5,550 and $5,500 levels. The 61.8% Fib retracement level of the recent wave from the $5,372 low to $5,837 high seems to be acting as a strong support near $5,540. More importantly, this week’s followed two bullish trend lines are intact with support near $5,500 and $5,480 on the hourly chart of the BTC/USD pair. If the price dips again, the bulls are likely to defend the $5,500 support area. The last line of defense is near $5,480, and the 76.4% Fib retracement level of the recent wave from the $5,372 low to $5,837 high.
On the upside, an initial resistance is near the $5,650 level. The next key resistance is near $5,650 and a connecting bearish trend line on the same chart. A successful close above $5,650 may call for a fresh increase above $5,700 and $5,750.
Looking at the chart, bitcoin price is trading in a strong uptrend above $5,500 and $5,480. Therefore, any dips remain attractive and the price could bounce back above $5,700 in the near term. The main hurdle is near the $5,800 level, above which the price is likely to test the $6,000 resistance area.
Technical indicators:
Hourly MACD – The MACD is currently placed heavily in the bearish zone, with a few positive signs.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD dipped sharply below the 50 level, but stable near 35.
Major Support Levels – $5,550 followed by $5,500.
Major Resistance Levels – $5,600, $5,650 and $5,750.
