Bitcoin remains the number 1 ranked currency in terms of overall market cap across the entire industry. It currently has a total market cap value of $115 billion after the cryptocurrency finally sees a +3.91% 90-day increase. The 65-month-old coin is still trading at a value that is 65% lower than its all-time high price.
Let us continue to analyse price action for Bitcoin over the short term and update our support and resistance levels.
Bitcoin BTC/USD – SHORT TERM – DAILY CHART
Analysing the market from the hourly charts above, we can see that, since our last analysis, Bitcoin came right down into our expected support area at the short term .618 Fibonacci Retracement level (drawn in green) priced at $6383. As the market approached this area, price action was supported heavily and rebounded.
We can see that price action rebounded and continued to rise until it met resistance at the short term .382 Fibonacci Retracement level priced at $6557. The market had then established a short term trading range, bound between the $6557 handle as the upper boundary and the long term .618 Fibonacci Retracement level (drawn in black) priced at $6453 as the lower boundary.
We can see that price action has recently broken up above the upper boundary of the trading range and has surged into resistance provided by the 1.272 Fibonacci Extension level (drawn in red) priced at $6715.
Moving forward, if the bulls continue with their bullish momentum and push Bitcoin price above the resistance seen at $6715 then we can expect immediate significant resistance above to be located at the. 1.414 Fibonacci Extension level (drawn in red) priced at $6775. Further resistance located above this level can then be expected at the long term .382 Fibonacci Retracement level (drawn in black) priced at $6824.
Further resistance located above this level can then be expected at the 1.272 and 1.414 Fibonacci Extension levels (drawn in blue) priced at $6945 and $7027, respectively.
Alternatively, if the bears re-enter the market we can expect immediate support located below to be expected at the short term .236 Fibonacci Retracement level (drawn in green) priced at $6665 followed by the long term .5 Fibonacci Retracement level (drawn in black) priced at $6639.
Further support expected below this level can then be expected at the long term (drawn in black) and short term (drawn in green) .618 Fibonacci Retracement levels priced at $6453 and $6383, respectively.
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