- Bitcoin price rallied more than 15% and it broke the $11,000 resistance zone.
- A new monthly high is formed near $11,412 and the price is consolidating above $10,500.
- There is a short-term contracting triangle forming with support near $10,800 on the 4-hours chart of the BTC/USD pair (data feed from Coinbase).
- The pair might correct lower in the short-term, but dips remain well supported near $10,300.
Bitcoin price is trading in a strong uptrend above $10,500 against the US Dollar. BTC could continue to rise towards $12,000 as long as it is above the $10,300 support zone.
Bitcoin Price Analysis
In the past few days, bitcoin price started a strong bullish wave above the $10,000 pivot level against the US Dollar. BTC broke the crucial $10,500 resistance zone and settled well above the 55 simple moving average (4-hours).
It opened the doors for more gains and the price rallied above the $11,000 level. A new monthly high is formed near $11,412 and the price is consolidating gains. It traded below the $11,150 level, plus the 23.6% Fib retracement level of the recent surge from the $10,137 low to $11,412 high.
It seems like there is a short-term contracting triangle forming with support near $10,800 on the 4-hours chart of the BTC/USD pair. The triangle support is close to the 50% Fib retracement level of the recent surge from the $10,137 low to $11,412 high.
Below the triangle support, the price could correct lower towards the $10,600 support. The main uptrend support is now forming near the $10,350 and $10,300 levels.
Any further losses may perhaps lead the price towards the $10,000 pivot and support level or the 55 simple moving average (4-hours). On the upside, the triangle resistance is near the $11,100 level. A successful break could lead the price towards the $11,250 resistance.
The main resistance is near the $11,400 swing high. The next key resistance is near $11,500, above which the price could rally towards the $12,000 barrier. Any intermediate hurdle is seen near the $11,850 level.
Looking at the chart, bitcoin price is clearly trading in a strong uptrend above $10,600 and $10,500. In the short-term, the price might correct lower below $10,800, but dips remain well supported near $10,300.
Technical indicators
4 hours MACD – The MACD is currently losing momentum in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI is still well above the 50 level.
Key Support Levels – $10,800 and $10,600.
Key Resistance Levels – $11,100, $11,400 and $11,500.