Bitcoin Just Rejected $6,600 and Its Vulnerable To a Short-Term Correction
Bitcoin is up greater than eight% and it broke the $6,500 resistance space towards the US Dollar. BTC worth is now struggling to clear $6,600 and it may appropriate decrease within the brief time period.
- Bitcoin gained bullish momentum above the $6,200 and $6,400 ranges towards the US Dollar.
- The worth topped close to the $6,640 degree and it’s at present correcting decrease.
- There is a connecting bullish pattern line forming with assist close to $6,420 on the hourly chart of the BTC/USD pair (information feed from Kraken).
- The pair may appropriate decrease in the direction of the $6,280 space if it breaks the pattern line assist.
Bitcoin Gains eight%
After a profitable shut above the $6,000 space, bitcoin worth shaped a assist base towards the US Dollar. As a end result, BTC worth began a regular enhance above the $6,200 resistance and the 100 hourly easy transferring common.
The worth gained tempo and traded above the $6,400 pivot space. It is up greater than eight% and it even climbed above the $6,500 resistance. A excessive is shaped close to the $6,641 degree and it looks as if the worth is struggling to realize power above $6,600.
Bitcoin is at present correcting decrease and buying and selling beneath the $6,500 degree. It broke the 23.6% Fib retracement degree of the current rally from the $5,846 low to $6,641 excessive.
On the draw back, an preliminary assist is close to the $6,400 space. There can also be a connecting bullish pattern line forming with assist close to $6,420 on the hourly chart of the BTC/USD pair.
Below the pattern line assist, the worth may check the $6,300 space and the 100 hourly SMA. The most important assist appears to be forming close to the $6,240 degree. It is near the 50% Fib retracement degree of the current rally from the $5,846 low to $6,641 excessive.
If the bulls fail to guard the $6,300 and $6,240 ranges, there’s a danger of one other bearish wave. In the talked about bearish case, the worth may dive in the direction of the $6,000 degree.
If bitcoin stays secure above $6,400 or $6,300, it may make one other try to realize power above the $6,600 resistance space.
A profitable shut above the $6,600 degree and a observe by way of above $6,640 might maybe spark a respectable upward transfer in the direction of the $6,800 and $7,000 resistance ranges.
Hourly MACD – The MACD is at present shedding momentum within the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is at present correcting decrease in the direction of the 50 degree.
Major Support Levels – $6,400 adopted by $6,300.
Major Resistance Levels – $6,600, $6,640 and $6,800.
Risk disclaimer: 76.four% of retail CFD accounts lose cash.