Bitcoin Price Weekly Analysis – Can BTC/USD Break $4500?

Key Points

• Bitcoin price failed once again around the $4450 level against the US Dollar, and currently trading near $4350.
• There is a crucial bullish trend line with support at $4280 forming on the 4-hours chart of BTC/USD (data feed from SimpleFX).
• As long as the price is above the trend line support at $4280, it may retest $4450.

Bitcoin price is struggling to clear the $4450-4500 levels against the US Dollar. A break above $4500 in BTC/USD is needed for $5000 in the near term.

Bitcoin Price Trend Support

Bitcoin price made a nice upside move this past week and traded towards the last high of $4470 against the US Dollar. The price traded as high as $4450 where it faced sellers and started a correction. The price traded below the 23.6% Fib retracement level of the last wave from the $4070 low to $4450 high. However, the downside move was contained by the $4250 support zone.

The 50% Fib retracement level of the last wave from the $4070 low to $4450 high at $4260 prevented declines. The price is now slowly moving higher above $4300, but lacking pace. There is a crucial bullish trend line with support at $4280 forming on the 4-hours chart of BTC/USD. The highlighted trend line support at $4280-4260 could play a major role for the next move in the near term.

As long as the price is above the $4280-4260 support area, it might retest the last swing high at $4450. On the flipside, if there is a break and close below $4250, the price could test $4100. Moreover, the 100 simple moving average on the same chart is near $4070, which is critical support. Overall, the next move depends whether the price can hold the trend line and support at $4250 or not.

Looking at the technical indicators:

4-hours MACD – The MACD is still moving into the bullish zone.

4-hours RSI (Relative Strength Index) – The RSI is also well above the 50 level.

Major Support Level – $4250

Major Resistance Level – $4450

 

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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