Key Points
- Bitcoin price is consolidating below the $6,520 resistance level against the US Dollar.
- Yesterday’s highlighted key ascending channel is active with support at $6,430 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The price could decline a few points towards $6,400 or $6,380 before it climbs higher.
Bitcoin price is currently trading in a range above $6,400 against the US Dollar. BTC/USD must break $6,520 to accelerate gains in the near term.
Bitcoin Price Analysis
During the past few sessions, there was hardly any action above $6,500 in bitcoin price against the US Dollar. The BTC/USD pair consolidated below the $6,500 and $6,520 resistance levels. Earlier, a low was formed at $6,349 before the price corrected higher. It traded above the $6,460 level, but it struggled to clear the $6,500 and $6,520 resistance levels. Moreover, there was no close above the 23.6% Fib retracement level of the last slide from the $6,830 swing high to $6,349 low.
At the outset, yesterday’s highlighted key ascending channel is active with support at $6,430 on the hourly chart of the BTC/USD pair. The price is currently struggling to hold the channel support at $6,430. It means there are chances of a downside spike towards the $6,400 or $6,380 support levels. Below these, the next key support is near $6,320 and the 100 hourly simple moving average. Once the pair starts climbing, it could face sellers near $6,520, above which the price is likely to test $6,588. It represents the 50% Fib retracement level of the last slide from the $6,830 swing high to $6,349 low.
Looking at the chart, bitcoin price is trading with a minor bearish angle below $6,520. Therefore, the price could dip sharply below the channel support or $6,400 before buyers take control.
Looking at the technical indicators:
Hourly MACD – The MACD for BTC/USD is slowly moving in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI is around the 50 level.
Major Support Level – $6,400
Major Resistance Level – $6,520