Bitcoin price analysis: BTC/USD in recovery mode, bulls set their eyes on $6,400 handle
|- BTC/USD has gained 1% on Thursday so far as recovery gaining traction.
- The next critical resistance is created by $6,400.
Bitcoin is changing hands at $6,388 at the time of writing. The digital coin No. 1 has gained over 1% since the beginning of Thursday amid slow but steady recovery from the recent lows reached at $6,116 on September 8. The cryptocurrency market has stabilized after the epic fall engineered by an unhappy combination of negative factors, including misinterpreted comments from Vitalik Buterin, SEC's decision on two crypto ETFs and NY court ruling on cryptocurrency related case.
Bitcoin's technical picture
BTC/USD has been creeping higher since September 8, well-supported by the upside trendline. A sustainable movement above $6,300 created a bullish momentum and pushed the price through the upper line of a triangle pattern (currently at $6,350), which is considered a positive development on the short-term timeframe.
The next resistance is created at $6,400 and followed by $6,442, which is produced by SMA50 (4-hour chart). This handle is likely to stop the upside for the time being; however, once it is cleared, the recovery may be extended towards $6,500.
BTC/USD is in recovery mode as long as it stays above $6,300. This psychological level is strengthened by a cluster of SMA100 and SMA50 (1-hour), located at $6,290. If it is broken, the sell-off is likely to continue towards $6,220 (the above-mentioned upside trendline) and $6,200.
BTC/USD, 4-hour chart
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