Bitcoin Price Analysis: BTC/USD struggles to hold above $7,000
|- BTC/USD trades between key Fibonacci retracement levels on Saturday.
- Bitcoin remains on track to close third straight week with gains.
After advancing to its highest level since the March-13 crash at $7,250 on Thursday, Bitcoin (BTC/USD) struggled to preserve its bullish momentum and posted small losses on Friday. Although the pair is rising modestly on Saturday, the lack of volume suggests that it's likely to fluctuate in a tight range. As of writing, the pair was up 1.5% on the day at $6,840.
Technical outlook
Thursday's rally lifted the price to the Fibonacci 61.8% retracement of the sharp drop witnessed during mid-March at $7,250. However, the daily candlestick, which has a long wick and a small body, shows that the selling pressure remains strong around that area. With a daily close above $7,250, the pair could target $7,650 (50-day SMA) ahead of $8,170 (100-day SMA/200-day SMA).
On the other hand, a strong near-term support seems to have formed at $6,600, the Fibonacci 50% retracement level. Below that level, $6,250 (20-day SMA) could be seen as an interim support ahead of $6,000 (Fibonacci 38.2% retracement/psychological level).
BTC/USD daily chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.