Bitcoin Price Weekly Analysis –BTC/USD Surges To Test Resistance

Key Points

  • Bitcoin price blasted higher recently against the US Dollar, but traded right at a major resistance area.
  • There is a crucial connecting resistance trend line formed on the 4-hours chart (data feed from SimpleFX) of BTC/USD, which acted as a barrier or the buyers.
  • The price is currently showing a lot of positive signs, and people may now look to buy BTC.

Bitcoin price jumped higher during the past few sessions versus the US Dollar, and also showing a lot of bullish signs on the 4-hours chart.

Bitcoin Price Upside Hurdle

Bitcoin price after trading in a range for quite some time against the US Dollar found buyers and started to move higher. There was a nice upside thrust, which took the price towards the $600 level. The buyers even managed to break the stated level to set a new high of $610. However, the upside was stalled near a major resistance zone, which may play a crucial role moving ahead.

At $610, there is a connecting resistance trend line formed on the 4-hours chart (data feed from SimpleFX) of BTC/USD. And, the 1.618 extension of the last drop from the $592 high to $561 low is also around it. So, there is a major technical resistance formed near $610. This is the reason why, the BTC bulls were seen struggling near the stated resistance level.

Bitcoin Price Weekly AnalysisBitcoin Price Weekly Analysis

So, there is a chance that the BTC/USD pair may correct a few points lower in the short term. However, the price remains in an uptrend, and any major correction can be seen as a buying opportunity.

Looking at the technical indicators:

4-hours MACD – The MACD is strongly placed in the bullish zone, which is a very good sign for the BTC buyers.

4-hours RSI (Relative Strength Index) – The RSI is around the overbought levels, which may ignite a minor correction.

Major Support Level – $590

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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