Bitcoin Price Weekly Analysis – $605-10 Is Crucial For BTC/USD?

Key Points

  • Bitcoin price after declining towards $580 against the US Dollar managed to recover a few points.
  • There is a crucial bearish trend line formed on the 4-hours chart (data feed from SimpleFX) of BTC/USD, which can act as a major barrier for upsides.
  • The $605-10 area is a crucial resistance area and may provide offers to the buyers.

Bitcoin price remained under a bearish pressure this past week versus the US Dollar, and now BTC/USD is approaching a major resistance.

Bitcoin Price Resistance

Bitcoin price after trading in a range versus the US Dollar above the $600 level for some time found sellers and moved down. There was a sharp downside reaction, taking the price towards $580 where somehow the bulls appeared. The price traded as low as $581 and currently correcting higher. It is now above the 38.2% Fib retracement level of the last drop from the $613 high to $581 low.

So, there is a chance that the price may continue to move higher. However, there is a monster resistance waiting for the bulls on the upside at $605-10 levels. There is a crucial bearish trend line formed on the 4-hours chart (data feed from SimpleFX) of BTC/USD. Moreover, the 100 simple moving average (H4 chart) is also around the same trend line resistance. Last, but not the least, the 76.4% Fib retracement level of the last drop from the $613 high to $581 low is also positioned around the same resistance.

Bitcoin Price Weekly Analysis Bitcoin Price Weekly Analysis

We can say that there is a major barrier at $605-10 where the buyers may struggle. One may even consider selling near it with a stop of $2-3.

Looking at the technical indicators:

4-hours MACD – The MACD is currently attempting to stay in the bullish zone, but there is hardly any momentum.

4-hours RSI (Relative Strength Index) – The RSI is just around the 50 level, waiting for the next move.

Major Support Level – $595

Major Resistance Level – $610

 

Charts courtesy – SimpleFX

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

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