Bitcoin price analysis: BTC/USD on the verge of another breakout, $7,000 lingers on the horizon

Bitcoin has been predicted to make a comeback towards the end of this year. Currently, the bulls are alert and are ready to spot all technical signals that will indicate the next swing towards $10,000. Bitcoin has experienced overstretching declines this year from the all-time high close to $20,000 to the current price at $6,756.

In the recent months the tussle between the U.S Securities and Exchange Commission (SEC) and the firms seeking a Bitcoin exchange-traded fund ETF) has done more damage to the deflating crypto. The authority is expected to rule over another ETF proposal on September 30. The SEC rejected the other ETFs on the grounds manipulation among other issues.

At the moment, Bitcoin is on the verge of a breakout from the multi-month descending trendline. This week, Bitcoin dropped from trading above $6,800 and tested the support at $6,350. However, the bulls did not stay down for long as they pushed for a comeback above $6,500 yesterday. On Friday 28, Bitcoin has crossed above the ‘the resistance at $6,700. In addition to that, it is testing the key resistance a $6,800.

Bitcoin requires a boost above the trendline resistance for a proper movement above $6,800 and eventually curve the trajectory to $7,000. The 50 SMA the hourly chart has crossed above the longer term 100SMA signaling that the bulls have the upper hand. The stochastic on the same chart is deep inside the overbought region. Various support areas are highlight on the chart at $6,600, $6,400 and lastly $6,200.

BTC/USD 1-hour chart