Can Bitcoin Price Break Above Resistance?

Bitcoin price surged higher, Saturday, on the surprise announcement of a Greek referendum that will decide the fate of the stand-off between Greece and her big bank creditors. Sunday saw a pullback but by early Monday morning advance was, once again, underway. Can the Bitcoin price push higher? What stands in its way?

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Bitcoin Price Analysis

Time of analysis: 04h54 UTC

Bitstamp 15-Minute Chart

Bitstamp 15-Minute Chart

From the analysis pages of xbt.social, earlier today:

Price is pushing back toward Saturday’s high.

RSI divergence from price is annotated in magenta. Price had made a corrective low at the 200MA (red) while RSI failed to show a corresponding low, and price reacts by pushing higher.

The move up must challenge the previous high at $252 (Bitstamp) and then challenge the following levels of resistance:

  • the 1-day chart’s 200MA at $253 (Bitstamp), $252 (Bitfinex) and 1560 CNY (BTC-China)
  • an annual price pivot at $255 (Bitstamp) and 1590 CNY (BTC-China)
  • the 1-day 100MA’s 10% envelope at $261 (Bitstamp and Bitfinex) and 1622 CNY (BTC-China)

Note that in the futures charts, OKCoin’s 1 Week Forward chart has both the 10% envelope and an annual pivot at $261. The OKCoin 3 Month Forward chart has already advanced above its 1-day 200MA and has twice challenged the 10% envelope at $263. Bitfinex has no annual pivot in this chart area – its annual pivot is located down at $240.

If price breaks above these levels then $280 (Bitstamp) should be the initial target with $300 and higher opening up.

In the event that price falls away from current levels then $240 could be revisited.

A trade from $261 to $280 is the highest probability opportunity evident in the chart and it also presents low risk once price has breached the envelope at $261 and has successfully tested it for support.

Pushing above this envelope will be very bullish to $280.

Time is a cunning speculator’s best friend if he uses it right. – Jesse Livermore

CoinCompetition

 CoinCompetition leaderboard 10h55 290615

These are the provisional final standings in last week’s CoinCompetition. Final positions and the winner will be updated once the final standings are announced later today.

Summary

Upside chart resistance that has contained price for over 4 months, lies directly above Bitcoin price. Pushing above $254 and then $261 will open up advance to $280. Should a push higher fail we could see price return to support at $240 – as outlined in yesterday’s outlook. In either case, traders should not anticipate the market and would be prudent to wait for a clear break of the levels mentioned above.

Bitstamp orderbook depth and Buy/Sell Volume:

 Bitstamp depth buysell volume 10h54 290615

Click here for the CCN.LA interactive price chart.

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Disclaimer

The writer trades Bitcoin. Trade and Investment is risky. CCN.LA accepts no liability for losses incurred as a result of anything written in this Bitcoin price analysis report.

Bitcoin price charts from TradingView.
Image from Shutterstock.