Key Points
- Bitcoin gold price is slowly gaining pace and is currently above the $240 support against the US Dollar.
- There is a key contracting triangle forming with resistance at $280 on the hourly chart of BTG/USD (data feed from Bitfinex).
- The pair might consolidate in a range before making the next move above $280 in the near term.
Bitcoin gold price is consolidating above $240 against the US Dollar. BTG/USD may soon make the next move and trade above $280 to gain traction.
Bitcoin Gold Price Upside Hurdle
Recently, we saw a major decline in bitcoin gold price from the $420 resistance against the US Dollar. The price traded below the $400 and $300 support levels. The downside move was strong as the price declined below the $280 support as well. A low was formed at $193 from where the price started correcting higher. It has moved above the 23.6% Fib retracement level of the last decline from the $420 high to $193 low.
However, the price is struggling to gain momentum above the $280 and $300 levels. At the moment, it seems like there is a key contracting triangle forming with resistance at $280 on the hourly chart of BTG/USD. The pair might continue to consolidate above the $240 support area before making the next move. The triangle resistance is around the 38.2% Fib retracement level of the last decline from the $420 high to $193 low. Therefore, a close above the $280 level and the 100 hourly SMA is needed for buyers to gain traction.
On the downside, the $240 support area holds a lot of importance and it must hold to prevent further declines in the near term.
Looking at the technical indicators:
Hourly MACD – The MACD for BTG/USD is slightly placed in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTG/USD is currently just above the 50 level.
Major Support Level – $240
Major Resistance Level – $280
Charts courtesy – Trading View, Bitfinex
Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.