Bitcoin price remained below the $6,600 resistance level against the US Dollar.This week’s followed important bearish trend line is still active with resistance at $6,585 on the hourly chart of the BTC/USD pair (data feed from Kraken).The pair has to clear the $6,585 and $6,600 resistance level to gain traction in the near term.
Bitcoin price struggled to clear the $6,600 resistance against the US Dollar. BTC/USD could react to the downside if there is a continuous failure near $6,600.
Bitcoin Price Analysis
During the past two analysis, we discussed the importance of the $6,600 resistance for Bitcoin price against the US Dollar. The BTC/USD pair failed on many occasions to clear the $6,580 and $6,600 resistance zone. Moreover, there was also no close above the 100 hourly simple moving average and the $6,585 level. These are negative signs pointing towards a short-term weakness below the $6,550 level.
More importantly, this week’s followed important bearish trend line is still active with resistance at $6,585 on the hourly chart of the BTC/USD pair. The price recently declined below the 23.6% Fib retracement level of the last wave from the $6,399 low to $6,597 high. However, downsides were limited by the $6,500 support area. Additionally, the 50% Fib retracement level of the last wave from the $6,399 low to $6,597 high is also acting as a support. Below the $6,500 support level, there could be a bearish wave towards the $6,400 pivot level.
Looking at the chart, Bitcoin price is clearly facing a solid barrier near the $6,600 level. A proper close above $6,585 and $6,600 is needed for buyers to gain upside momentum. The next crucial hurdle for them is near the $6,680 and $6,720 levels.
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 just above the neutral 50 level.
Major Support Level – $6,500
Major Resistance Level – $6,600