Bitcoin price analysis: BTC/USD all eyes set on $8,000
|- Bitcoin has maintained trading within an ascending channel since the recovery from $5,800 support began.
- The trading over the weekend broke above $7,300 and formed highs of $7,335.79.
- Bitcoin is strongly supported at $7,000 and $6,800 zones.
Bitcoin has maintained trading within an ascending channel since the recovery from the primary support at $5,800 in the second week of last month. After blasting its way above $6,000, the uptrend faced significant resistance at $6,400 before the breakout that spiked above $7,000. In the previous analysis, Bitcoin had dropped below $7,000 but remained strongly supported at $6,800.
The bulls have no intentions of slowing down until they reach $8,000 in the medium-term. The trading over the weekend was not mundane at all. Bitcoin retraced above $7,000 and cleared the resistance at $7,300. However, it began trimming gains on trading highs of $7,335.79.
At present, the largest cryptocurrency by market capitalization is changing hands at $7,236. Applying Fib levels, it shows that BTC/USD is supported at the 50% Fib retracement level with the last high leg of $7,707.14 and a low leg of $5,897.64. The 4-hour 50 simple moving average is also supporting the price at $7,000. The bullish trendline will also prevent declines towards $6,800.
Bitcoin buyers have their eyes set on $8,000 but in the meantime, they must clear the resistance at $7,335 and $7,400. The range at $7,800 -$7,900 will be a significant hurdle as well. Looking at the chart lower corrections are imminent in the near-term. Significantly, the buyers must not allow a slide below $7,200 which could break down further towards $7,000.
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