Bitcoin Price Analysis: BTC/USD Price Found Support at $8,235, Rallying Towards $9,398

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Photo: Tim Reckmann / Flickr

Key Highlights:

  • Bitcoin price moving towards $9,398 level;
  • the Bears’ momentum is lower than that of the Bulls;
  • the price may reach $9,398 level.

BTC/USD Medium-term Trend: Bullish

Resistance levels: $9,398, $10,168, $10,967
Support levels: $8,235, $7,600, $6,856

Bitcoin resumed Bullish movement on the medium-term outlook. After few days of consolidation, the crypto was bearish on May 30 with the formation of bearish engulfing candle that emerged, another strong bearish candle formed that pushed the coin below the $8,235 level.

The bulls rejected the price declination and the demand level of $8,235 was defended. BTC price consolidated for a few hours at $8,235 level before it sluggishly moved up and crossed over the dynamic support and resistance levels. As at the moment, the Bitcoin price is consolidating on the dynamic resistance levels.

The 21-period EMA and the 50 periods EMA has been crossed upside by the Bitcoin price and it is trading above the two EMAs. There is no much distance between Bitcoin price and the two EMAs; this indicates that the Bullish momentum is low. However, the Moving Average Convergence Divergence period 12 with its histogram is above the zero levels and the signal lines pointing up to connote buy signal.

Bitcoin price will reach $9,398 resistance level should the Bulls gain more pressure to push the price up. Price consolidation may continue in case the bulls’ momentum remains weak.

BTC/USD Short-term Trend: Bullish

BTC/USD is Bullish on the short-term outlook. The Bearish momentum was lost at $8,235 level on May 30. The Bulls’ momentum was increased and the price slowly moved towards the supply level of $9,398. It seems the Bulls’ momentum is low but that of the Bears is lower. The coin is moving sideways on the two EMAs.

On 1-hour chart, the Bitcoin price is trading on the 21 periods EMA and 50 periods EMA and MACD with its histogram is below zero levels and the signal lines pointing down to connotes sell signal.

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