- Recent statistical data suggests that Bitcoin’s price is currently confronting gains above the $8,674.44 pivot level against the US Dollar.
- A significant contracting triangle forming has been observed with resistance near a $9,110 level on the 4-hours chart of the BTC/USD pair.
Recent statistical data suggests that Bitcoin’s price is currently confronting gains above the $8,520 pivot level against the US Dollar. In fact, the cryptocurrency is facing a major resistance near the $9,100 and $9,200 levels currently.
Data from Coinbase claims there is a significant contracting triangle generated with resistance. Resistance near $9,110 on the 4-hours chart of the BTC/USD pair. Such a pair has the potential to initiate a strong rally if there is a clear break above $9,100 and $9,200.
Bitcoin Price Analysis: In brief
Since the post-strong rally, bitcoin price started a downward correction from the $9,400 swing high against the US Dollar. BTC price corrected lower below $9,000 and $9,200. However, it has remained stable in a positive zone. The price rate managed to remain well bid above the $8,400 support and the 55 simple moving average (4-hours period chart). And the last swing low takes a form near $8,548 wherein the price currently affiliates gains above the $8,520 pivot level.
Additionally, the recent swing high was at $9,128 and the price is currently trading just above $9,000. A preliminary aid is can be expected at the $8,840 level. Also, it is close to the 50% Fib retracement level of the recent instance from the $8,548 swing low to $9,128 high.
Observation of a major Contracting triangle
Apart from the above, a significant contracting triangle forming has been observed with resistance near a $9,110 level on the 4-hours chart of the BTC/USD pair. On a factual note, if the pair breaks the triangle resistance, there exists the possibility it can strive for an upside break above the $9,200 resistance zone.
However, if the bulls somehow succeed in clearing the $9,200 resistance, it will result in the rise above the $9,400 and $9,500 resistance level. Once they reach the $9,500 level, the next obstacle can be expected at the $9,880 and $10,000 levels respectively. Contradicting the above, the first major support on the downside is near the $8,680 level. It apparently coincides with the 76.4% Fib retracement level of the recent move from the $8,548 swing low to $9,128 high.
It also needs to underline that, If there is exists a downside break below the triangle support, there is a risky probability of a bearish break below the $8,500 and $8,400 support levels in the near term.