- Bitcoin price started a fresh increase above the $9,340 resistance against the US Dollar.
- The bulls succeeded in clearing the key $9,500 resistance zone and the 55 simple moving average (4-hours).
- There was a break above a crucial bearish trend line with resistance near $9,400 on the 4-hours chart of the BTC/USD pair (data feed from Coinbase).
- The pair traded as high as $9,793 and it is currently correcting gains.
Bitcoin price is back in a positive zone above $9,400 and $9,500 against the US Dollar. However, BTC must break the $9,880 resistance to continue higher above $10,000.
Bitcoin Price Analysis
There was another bearish reaction in bitcoin price this past week below $9,200 against the US Dollar. However, BTC remained stable above the $9,060 support level. A low was formed near $9,171 and the price recently started a steady increase.
There was a break above the key $9,340 resistance level and the 55 simple moving average (4-hours) to start the increase. More importantly, there was a break above a crucial bearish trend line with resistance near $9,400 on the 4-hours chart of the BTC/USD pair.
The pair settled nicely above the $9,400 and $9,500 levels. It traded as high as $9,793 and it is currently correcting lower. There was a break below the $9,720 level. Besides, the price traded below the 23.6% Fib retracement level of the upward move from the $9,171 low to $9,793 high.
However, the previous resistance region near the $9,580 level is now acting as a strong support. If there are more losses, the price could test the $9,500 and $9,480 support levels in the near term.
The 50% Fib retracement level of the upward move from the $9,171 low to $9,793 high is also near the $9,482 level to act as a support. The main support is now near the $9,420 level and the 55 simple moving average (4-hours), below which the price could turn bearish again.
Conversely, the price is likely to continue higher above the $9,780 and $9,800 levels. The key hurdle is near the $9,880 level, above which the price is likely to surge above the $10,000 handle in the near term.
Looking at the chart, bitcoin price is now back in a positive zone above the key $9,500 resistance zone and the 55 simple moving average (4-hours). Therefore, there are high chances of more upsides above $9,880.
Technical indicators
4 hours MACD – The MACD is currently losing pace in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI is currently well above the 50 level.
Key Support Levels – $9,580 and $9,340.
Key Resistance Levels – $9,780, $9,880 and $10,000.
