Bitcoin corrected lower below $8,700, but it found a strong support above $8,500 against the US Dollar. BTC price is currently rising and it could rally if it clears the $8,840-$8,900 resistance area.
- Bitcoin price might not go down quietly and it could rally above $8,800 against the US Dollar.
- The double top pattern is still valid unless the bulls clear the $8,900 resistance.
- There is a new breakout pattern forming with resistance near $8,825 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The main supports on the downside are near $8,580 and $8,500.
Bitcoin Bears Struggle To Gain Traction
Yesterday, we saw a downside correction in bitcoin after it was rejected near the $8,900 resistance against the US Dollar. BTC price declined below the $8,700 support level, but the bulls defended the $8,540 and $8,500 levels.The bears made many attempts to break the neckline support of the double top pattern at $8,540, but they failed. As a result, the price started a decent increase and traded above the $8,700 resistance.
If the bulls manage to push the price above the triangle resistance and $8,840, there are high chances of more upsides above the $8,900 resistance. In the mentioned case, the double top pattern is likely to invalidate and the price might rally above $9,000 in the near term.