Bitcoin Price Key Highlights After previously trading inside a rising wedge , bulls pushed harder and allowed bitcoin price to form new highs.
Price created an ascending channel pattern on its 1-hour time frame and just tested the resistance.
The recent bounce could pave the way for a test of support near $415 and the moving averages.
Bitcoin price has started a steady uptrend and might carry on, based on the new signals from technical indicators.
Technical Indicators Signals
The 100 SMA just crossed above the longer-term 200 SMA to confirm that the path of least resistance is to the upside. However, the channel resistance appears to be holding so a pullback to these dynamic support areas near the bottom of the channel might take place.
RSI is on its way down, indicating that bitcoin price bears are in control of price action for now. In that case, a quick drop to the channel bottom is indeed possible, as stochastic is also heading down from the overbought zone for a bit of profit-taking activity.
However, a break of the channel support could put bitcoin price on a short-term downtrend, likely taking it back down to the area of interest at $400 or all the way down to $380. If the channel support keeps losses in check, a bounce back towards resistance could be seen. Market Events There were still a couple of monetary policy announcements yesterday, one from the Bank of England and the other from the Swiss National Bank. Both central banks decided to keep interest rates on hold and refrain from adding quantitative easing measures, although the latter emphasized its dovish stance and willingness to intervene in the currency markets.As for the BOE, the statement was slightly less dovish than expected, allowing risk appetite to extend its stay […]
