- There were heavy gains in bitcoin price above the $5,500 pivot and resistance level against the US Dollar.
- The price rallied above the $5,700 and $5,800 resistance before there was a minor downside correction.
- There is a key connecting bullish trend line in place with support at $5,610 on the 4-hours chart of the BTC/USD pair (data feed from Kraken).
- The pair is currently in a strong uptrend and it could trade towards the main $6,500 resistance level.
Bitcoin price gained significantly above the $5,600 level against the US Dollar. BTC is likely to break the $6,000 and $6,250 levels before it could start a substantial downside correction.
Bitcoin Price Weekly Analysis (BTC)
This past week, there was a significant upward move in bitcoin price above the $5,380 and $5,400 resistances against the US Dollar. The BTC/USD pair broke the $5,500 pivot and resistance level to move into a bullish zone. The bulls gained traction, resulting in a push above the $5,600 and $5,700 resistance levels. There was a clear break above the 76.4% Fib retracement level of the major drop from the $5,645 high to $4,929 swing low. The price settled well above the $5,600 level and the 100 simple moving average (4-hours).
Finally, the price broke the $5,700 level and the last swing high. A new 2019 high was formed near $5,838 before the price started a downside correction. It seems like the price faced a strong resistance near the $5,820-5,840 zone. It represents the 1.236 Fib extension level of the major drop from the $5,645 high to $4,929 swing low. The price corrected below the $5,700 level, but dips remain well supported (as discussed yesterday). As a result, there was a strong comeback and the price surged back above $5,700 and $5,750.