Bitcoin is slowly gaining momentum and it broke the $7,000 resistance against the US Dollar. BTC is showing positive signs and it is likely to surge towards $7,500 and $8,200.
- Bitcoin is up more than 5% from the $6,500 swing low formed this past week.
- The bulls are gaining momentum above $7,500 and the 100 simple moving average (4-hours).
- There was a break above a major declining channel with resistance near $7,040 on the 4-hours chart of the BTC/USD pair (data feed from Kraken).
- The pair is currently trading in a bullish zone and it could rise further towards $7,500 and $8,200.
Bitcoin is Gaining Momentum
This past week, bitcoin regained strength after trading to a new weekly low at $6,482 against the US Dollar. BTC price traded higher steadily and surpassed the $6,800 resistance area.
The bulls managed to lead the price above the main $7,000 resistance area and the 100 simple moving average (4-hours). The price even climbed above the 50% Fib retracement level of the last key decline from the $7,470 high to $6,482 low. More importantly, was a break above a major declining channel with resistance near $7,040 on the 4-hours of the BTC/USD pair. Bitcoin price is now trading nicely above the $7,200 pivot level.
An initial resistance is near the $7,500 level, above which the price is likely to accelerate higher. The next key hurdles on the upside are near the $8,000 level. Any further upsides might call for a test of the $8,200 level.