Bitcoin (BTC) Price Analysis: 6% Surge Brings BTC Back to $7K, $7.4K Incoming?
- Bitcoin saw a 6% price increase over the past 24 hours of trading, bringing the cryptocurrency back above the $7,000 boundary.
- The cryptocurrency had dropped as low as $6,500 today but managed to turn things around to break above $7,000.
Bitcoin’s 6% price increase has now brought the cryptocurrency up above the resistance at $6,800 and beyond $7,000. The cryptocurrency had been trending lower over the past few days and even broke beneath a rising support trend line to reach as low as $6,500.
Nevertheless, Bitcoin managed to reverse the downtrend as it surged today to climb back above $7,000. This is not surprising, especially with the Bitcoin block halving just 25 days away now we can expect more and more people to start buying up any dips that they see as they expect price action to continue to rise in the lead up to the event.
Bitcoin Price Analysis
BTC/USD – Daily CHART – SHORT TERM
Market Overview
Analyzing the daily chart above, we can clearly see Bitcoin dropping beneath the previous rising trend line which should have marked the beginning of a downtrend, however, the bulls managed to find some steam at $6,500 which allowed them to buck the downtrend and reverse.
The thrust witnessed today allowed Bitcoin to rise back above the $7,000 level with an increased level of volume.
Short term prediction: Neutral/Bullish
Bitcoin is neutral at this moment in time and must break above the resistance at $7,400 to turn bullish.
If the buyers continue higher, the first level of resistance lies at $7,174 (bearish .618 Fib Retracement). Above this, resistance is expected at $7,400, $7,500, $7,676, and $8,000.
On the other side, support lies at $6,800, $6,600, $6,500, and $6,319.
Key Levels
Support:$7,000 $6,800, $6,500, $6,100, $6,000, $5,911, $5,786, $5,636, $5,600, $5,500, $5,467 $5,200, $5,000, $4,800, $4,672, $4,577, $4,139, $4,000, $3,912, $3,500, $3,436.
Resistance: $7,174, $7,400, $7,500, $7,676, $8,000, $8,073, $8,250, $8,461, $8,672, $8,979, $9,000, $9,100.
The cryptocurrency had dropped as low as $6,500 today but managed to turn things around to break above $7,000.
Disclaimer
The views, opinions, positions or strategies expressed by the authors and those providing comments are theirs alone, and do not necessarily reflect the views, opinions, positions or strategies of CoinGape. Do your market research before investing in cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.
Yaz is a cryptocurrency technical analyst and has been actively trading financial markets for over 7years, with 4 years of crypto experience. He is an Economics graduate who has taken a keen interest on the future potentials of blockchain in the financial industry. Aside from cryptocurrency and trading Yaz enjoys spending his time watching his favourite football team (Liverpool F.C.) compete as well as keeping up-to-date with the UFC. Follow him at @TcmYaz.
Published at Thu, 16 Apr 2020 20:56:04 +0000
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