Support Levels: $7000, $6800, $6500
Resistance Levels: $7150, $7200, $7300
- Bitcoin price moved over $7500 and recorded a new yearly high at around $7590.
- BTC corrected sharply and fell below $7200, $7000, $6900 and $6800 support levels.
- Bitcoin price tested the $6750 support level where buyers emerged and stopped further losses.
- A bullish pattern is currently being formed on the hourly chart with the support at around $6950.
- BTC will remain in an uptrend only if it is able to maintain itself above $6950 and $6800 support levels.
Bitcoin Price Analysis:
SUMMARY: Bitcoin price fell down sharply after rising up to $7590. BTC is trying to gain momentum however, it might fall down to test $6750 support again, below which it can fall to $6500 and even $6000 level.
Last week, Bitcoin price surged massively break above all major resistances just as a knife through butter. This was quite unexpecting as the $6800 resistance level which was being discussed from a very long time did not prove to be strong at all. Besides this, some cryptocurrency analysts are calling the current bitcoin surge a result of manipulation being done by cryptocurrency exchanges in order to liquidate the shorts.
Bitcoin was able to break above the $7000, $7200 and even $7350 resistance levels. The bulls pushed the price towards $7500 level and BTC was able to settle above the 100 hourly SMA. BTC was able to break above the $7500 resistance level and reached up to $7590 before correcting downwards. The selling pressure increased massively and BTC even moved below $7000 support level.
Currently, Bitcoin price is trading above $7000 level where minor support is formed. If BTC is not able to maintain its position above $6950 and $6800 support levels for long, it might test the $6500 level, below which the momentum might turn bearish and BTC might even crash below $6200 and $6000 levels. For now, the bulls are trying to gain momentum and trying to break above the solid resistance formed around $7100 and $7150.
The chart shows that bitcoin is still in an uptrend despite crashing down from over $7500 to below $6900. However, it is very essential for BTC to break above $7150 resistance in order to continue the uptrend. Also, if BTC moves below $6800 support, it might move towards $6500 and $6200 levels. A break above $7200 might lead to BTC testing $7300 and $7500 resistance levels again.