- Bitcoin price is currently correcting higher and it broke the key $8,200 resistance against the US Dollar.
- The price is now consolidating gains below the $8,300 and $8,350 resistance levels.
- There is a short term breakout or bullish continuation pattern forming with resistance near $8,250 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The price could struggle to continue higher and it might correct towards the $8,100 support.
Bitcoin price is rebounding nicely above $8,100 and $8,200 against the US Dollar. However, it is still early to call the current move as a trend change in BTC.
Bitcoin Price Analysis
This past week, we saw mostly bearish moves in bitcoin below the $8,200 support area against the US Dollar. BTC price even settled below $8,000 and the 100 hourly simple moving average. However, the $7,800 area acted as a strong support. As a result, BTC started a decent recovery above the $8,000 resistance area and the 100 hourly SMA. Moreover, there was a break above a contracting triangle with resistance near $8,000 on the hourly chart.
More importantly, the price surpassed the main $8,200 resistance area (as discussed in the weekly forecast). Finally, the price traded above the $8,250 level and tested the $8,300 zone. A high was formed near $8,305 and the price is currently consolidating gains. An immediate support is near the $8,200 level or the 23.6% Fib retracement level of the recent recovery from the $7,884 low to $8,305 high.