Bitcoin price broke the key $7,000-$7,020 resistance area to move into a positive zone. BTC/USD traded as high as $7,190 and is currently correcting.
After forming a support base above $6,760, the bitcoin price started a fresh recovery wave. BTC/USD broke the key range of resistance at $6,940 to move into a short-term positive zone.
Looking at the 1-hour chart, the price even climbed above the $7,000 resistance and the 25 SMA (1-hour, orange). During the rise, the price surpassed an ascending channel at $6,980 and then a major bearish trend line at $7,070.
Finally, the price surged above $7,150 and traded as high as $7,190. The bitcoin price is currently correcting lower from $7,190 and trading below $7,100.
It traded below the 23.6% Fib retracement level of the recent move from the $6,822 low to the $7,190 high. However, the price is now approaching the broken trend line at $7,070 (the previous resistance) and the 25 SMA (1-hour, orange).
The main support is now forming near the $7,000 level. It is also close to the 50% Fib retracement level of the recent move from the $6,822 low to the $7,190 high.
To move back into a bearish zone, the bears must push the price back below the $6,940 pivot level. On the other hand, Bitcoin could bounce back from the $7,000 support level.
On the upside, the bitcoin price must gain strength above $7,180 and $7,200 for bullish continuation. The next major resistance is between the $7,290 – $7,300 region. Overall, bitcoin is showing positive signs above $7,000 and it could continue to rise towards $7,300 in the next 2-3 sessions.