As expected, Bitcoin has ended its boring period over the weekend and things have taken an interesting turn as the price rose above strong resistance levels. Bitcoin has jumped 1.4% since Friday’s observation to trade at $232.17, a level which is eagerly watched by all market participants. And technically, the current market conditions strongly favor the bulls.
Technical analysis of the above presented 240-minute BTC/USD price chart conveys that bulls might eventually take the price higher to $245.
Bitcoin Chart Structure – As can be seen from the chart above, consistent buying has pulled the price above the previous consolidation level of $231. With this appreciation, the price has tested the downward sloping resistance line (marked in the chart) and edged lower. However, as the price maintains its higher ground, there is a high probability that this resistance may be breached on the upside and price may shoot up to $245, following massive short covering.
Fibonacci Retracements – Bitcoin is aptly using the Fibonacci retracement levels as stepping stones. First,