Key Points
- Bitcoin price remains in a decent uptrend with supports at $9,200 and $8,600 against the US Dollar.
- There is a key bullish trend line in place with support at $9,150 on the 4-hours chart of the BTC/USD pair (data feed from Kraken).
- The pair is likely to move further higher and it could soon break the $10,000 hurdle in the near term.
Bitcoin price is moving nicely above the $8,600 support against the US Dollar. Going forward, BTC/USD is poised to extend gains above $10,000 and $10,500.
Bitcoin Price Trend
This past week, bitcoin price gained traction and traded towards the $9,800 level against the US Dollar. It traded as high as $9,742 before sellers appeared. Later, a downside correction was initiated and the price declined below the $9,500 and $9,200 support levels. The price even broke the 23.6% Fib retracement level of the last leg from the $7,786 low to $9,742 high. Finally, there was a spike below the $9,000 level before buyers reappeared.
BTC price tested the 61.8% Fib retracement level of the last leg from the $7,786 low to $9,742 high to complete a correction pattern. It started an upside move and moved back above $9,000. Buyers also succeeded in breaking a connecting bearish trend line with resistance at $9,200 on the 4-hours chart of the BTC/USD pair. It seems like the pair is back in an uptrend above $9,200, and it could accelerate gains towards $9,750. More importantly, the price may perhaps break the all-important $10,000 level to trade to a new monthly high.
Looking at the chart, there is a key bullish trend line in place with support at $9,150. Therefore, if the price corrects lower from the current levels, then $9,200, $9.150 and $9,000 levels are likely to prevent declines.
Looking at the technical indicators:
4-hours MACD – The MACD for BTC/USD is back in the bullish zone.
4-hours RSI (Relative Strength Index) – The RSI is moving higher towards the 65 level.
Major Support Level – $9,150
Major Resistance Level – $9,750