Bitcoin Price Weekly Analysis: BTC/USD Above $6,500 Could Accelerate Gains
- Bitcoin price declined recently and tested the $6,350 support level against the US Dollar.
- There was a break above a connecting bearish trend line with resistance at $6,410 on the 4-hours chart of the BTC/USD pair (data feed from Kraken).
- The pair is facing a solid resistance near the $6,480 and $6,500 levels.
Bitcoin price is consolidating above the $6,350 support against the US Dollar. BTC/USD must break the $6,500 resistance zone to move into a bullish zone.
Bitcoin Price Analysis
There were more than three attempts to surpass the $6,480 and $6,500 resistances by bitcoin price against the US Dollar. The BTC/USD pair failed to gain momentum above the $6,500 level and later declined. The price traded below the $6,400 support and tested the $6,350 support. During the decline, there was a break below the 61.8% Fib retracement level of the last wave from the $6,150 swing low to $6,825 high.
However, buyers managed to hold losses below the $6,350 support level. There was also no test of the 76.4% Fib retracement level of the last wave from the $6,150 swing low to $6,825 high. Later, the price started a decent recovery and moved above the $6,400 resistance. Moreover, there was a break above a connecting bearish trend line with resistance at $6,410 on the 4-hours chart of the BTC/USD pair. The pair is currently trading below the $6,450 resistance. The most important hurdle for buyers is near the $6,480 and $6,500 levels.
Looking at the chart, BTC price could attempt to clear the $6,500 resistance in the coming sessions. If buyers succeed, there may well be more gains above the $6,550 level and the 100 SMA. On the flip side, if the price fails again to break $6,500, it might decline to $6,350 or even $6,200.
Looking at the technical indicators:
4-hours MACD – The MACD for BTC/USD is slowly moving back in the bullish zone.
4-hours RSI (Relative Strength Index) – The RSI is currently well above the 50 level.
Major Support Level – $6,350
Major Resistance Level – $6,500