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Bitcoin price analysis: BTC forms a sideways pattern above $16,755 support level

Bitcoin price analysis

TL;DR Breakdown

  • Bitcoin price looks to accumulate power for the next upward move
  • Price has settled above the $16,755 support level
  • Resistance for BTC/USD is present at $16,908

Bitcoin price analysis reveals the cryptocurrency is showing a bullish bias today, as the price has risen again to $16,853 after the bullish momentum returned. The BTC started to retrace downwards earlier last week, and the bears were in the lead til yesterday as a slight but constant decrease in price levels was observed during this time. But the trend underwent change today in favor of buyers, and the price has increased significantly during the last few hours. However, Bitcoin is still consolidating below the $16,908 range and is yet unable to cross this psychological mark.

The market opened today’s trading section in bullish mode. The price surged higher and if the bullish momentum persists, the BTC could soon hit the $16,908 resistance level. On the downside, there is key support at $16,755 which is currently holding the price from further decline.

BTC/USD 1-day price chart: Bitcoin yet unable to break above $16,908

The 1-day price chart for Bitcoin price analysis shows that the price function is covering a range upwards as the bulls are leading the price to maintain the price levels above $16,908, as the BTC/USD price is trading at $16,853 at the time of writing, with the coin showing a gain in value by more than 0.20 percent which a small but significant increase. The 24-hour trading volume is up to $12.84 billion gaining more than 35 percent, indicating stronger demand for the coin. Additionally, the market capitalization for Bitcoin is $324 billion, which is the highest in the market.

image 522
BTC/USD 24-hour chart: TradingView

The Exponential Moving Average (EMA) is in a bullish mode, with the EMA50 crossing above the EMA100. This indicates positive momentum and this could be taken as an opportunity for the buyers to capitalize on the trend and buy more BTC. On the other hand, the MACD is at -2.94, which means the momentum is quite neutral, and a further increase in price could be seen if the buyers can successfully break above the $16,908 resistance level.

The relative strength index (RSI) is present at an index of 47.63 in the upper half of the neutral zone. The RSI is trading on an upwards curve, indicating more buying activity in the market. Previously the indicator’s curve was downwards for the last two days.

Bitcoin price analysis 4-hour chart: BTC resurges to $16,908 mark

The 4-hour Bitcoin price analysis shows that the price breakout was upward during the first four hours of today’s session, as a good spike from $16,755 to $16,908 was observed. As the price spiked high the bulls took the lead and pushed the price to $16,931 before it corrected back down.

image 521
BTC/USD 4-hour chart: TradingView

The MACD is in a bullish mode, with both the MACD line and the signal line trading above 0.95. The indicator’s histogram is also in bullish territory, which shows that buyers are dominating the market.

Additionally, the RSI is trading at level 49.32, which indicates that the buying power is strong and could take the price to higher levels. On the other hand, the Exponential Moving Average (EMA) is in a bullish mode, with the EMA50 crossing above the EMA100. This indicates that the price could continue to increase if buyers break above the $16,908 resistance level.

Bitcoin price analysis conclusion

Bitcoin price analysis shows that the cryptocurrency price is on the increasing side today as some recovery has been observed. The coin has gained significant value in just four hours which is a hopeful sign for the buyers, but, on the other hand, the current correction is halting the bullish movement as the coin has neared the resistance zone. However, we expect BTC to continue upside for today, but it may not break out of the consolidation as yet.

Ann Mugoiri

Ann Mugoiri

Ann likes to write about crypto and blockchain technology. She has been following the development of these technologies for a few years and believes that they have the potential to disrupt many industries.She has specialized in technical analysis to help cryptocurrency traders make more informed decisions.

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