Bitcoin price started an upside move after trading as low as $6,202 against the US Dollar.There was a break above a key bearish trend line with resistance at $6,340 on the hourly chart of the BTC/USD pair (data feed from Kraken).The pair could continue to move higher, but it is facing many hurdles near $6,390 and $6,400.
Bitcoin price recovered nicely from the $6,200 support against the US Dollar. BTC/USD is now above $6,300, but it could struggle near the $6,370, $6,390 and $6,400 levels.
Bitcoin Price Analysis
After trading as low as $6,202, Bitcoin price found strong bids against the US Dollar. The BTC/USD pair started an upside move and climbed above a few key resistances like $6,280 and $6,300. The price cleared the 23.6% Fib retracement level of the last slide from the $6,530 swing high to $6,202 low. It opened the doors for more gains and the price spiked towards the $6,390 and $6,400 resistances.
There was a test of the 50% Fib retracement level of the last slide from the $6,530 swing high to $6,202 low. BTC buyers failed to clear the $6,390 and $6,400 resistances. However, there was a break above a key bearish trend line with resistance at $6,340 on the hourly chart of the BTC/USD pair. If the recent upside break is true, there could be more gains towards the $6,400 and $6,410 levels. The 100 hourly simple moving average is positioned near the $6,410 level to act as a resistance. Therefore, a proper close above the $6,400 resistance and the 100 hourly SMA is needed for more upsides.
Looking at the chart, Bitcoin is slowly losing momentum below $6,400. If there is a downside correction, the $6,300 support could act as a buy zone in the near term.
Looking at the technical indicators:
Hourly MACD – The MACD for BTC/USD is mostly neutral in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI is presently well above the 50 level.
Major Support Level – $6,300
Major Resistance Level – $6,410