Bitcoin Price Key Highlights
- Bitcoin price recently sold off but found support around the $650 area as predicted in an earlier article.
- This was in line with the 200 SMA, which held as a dynamic support level.
- Bullish pressure seems to be building up again as an ascending channel is forming.
Bitcoin price could be due for a test of the ascending channel resistance visible on its 1-hour time frame.
Technical Indicators Signals
Bitcoin price made a quick spike on its test of the channel support, indicating that buyers are putting up a fight and ready to push price back up to the top of the range. The 100 SMA is above the 200 SMA, confirming that the path of least resistance is to the upside, and the gap between the moving averages is widening so bullish momentum is getting stronger.
In that case, price could have enough energy to climb to the top of the channel around the $720 level. Stochastic is on the move up, also suggesting that buyers are taking control. However, once the oscillator reaches the overbought area and turns down, sellers could regain the upper hand, possibly triggering another test of channel support around $660 this time.
RSI is on middle