Key Points
- Bitcoin price rocketed higher and broke the $7000 handle against the US Dollar.
- Yesterday’s highlighted bullish trend line with current support at $6930 is intact on the hourly chart of the BTC/USD pair (data feed from SimpleFX).
- The pair might continue to move higher as long as it is above $6900.
Bitcoin price surged higher above $7000 against the US Dollar. BTC/USD is holding an important support above $6900 and eyes more gains.
Bitcoin Price Support
Yesterday, we saw discussed the chances of a spike above the $7000 level in bitcoin price against the US Dollar. The price rocketed higher and easily broke the $7000 handle to form yet another all-time higher. It even broke the $7200 and $7300 levels and posted a high at $7333. Later, a correction wave was initiated and the price moved below the $7200 level. Sellers succeeded in breaking the 38.3% Fib retracement level of the last move up from the $6280 low to $6333 high.
However, the downside move was limited by the $6800 support. The best part was the fact that yesterday’s highlighted bullish trend line with current support at $6930 protected losses on the hourly chart of the BTC/USD pair. Moreover, the 50% Fib retracement level of the last move up from the $6280 low to $6333 high stopped the downside move.
The pair is once again moving higher and is currently trading above $7000. It should hold the trend line support and remain above $6900 for further gains in the near term. On the upside, an initial resistance is at $7100 followed by the recent all-time high at $7333. Overall, BTC remains buy on dips in the short term above $6900.
Looking at the technical indicators:
Hourly MACD – The MACD has slightly reduced its bullish slope.
Hourly RSI (Relative Strength Index) – The RSI is currently just above the 50 level.
Major Support Level – $6900
Major Resistance Level – $7100
Charts courtesy – SimpleFX
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