Bitcoin price after trading above the $6200 level against the US Dollar started a correction. BTC/USD is currently holding the $6080 support and eyeing more gains.
Key Talking Points
Bitcoin price traded to a new all-time high at $6233 recently (data feed by Kraken) against the US Dollar before starting a correction.
There is a short-term bullish trend line forming with current support at $6080 on the hourly chart of BTC/USD.
The pair might continue to move higher and it could even break the $6230 swing high.
Bitcoin Price Chart Analysis
There was a sharp increase in buying interest, which pushed bitcoin price above the $6200 level against the US Dollar. A new all-time high was formed at $6233 from there the price started a short-term correction.
It moved below the 23.6% Fibonacci retracement level of the last wave from the $5680 low to $6233 high. However, the downside move was protected by the $6050 support and the 38.2% Fibonacci retracement level of the last wave from the $5680 low to $6233 high.
At present, the BTC/USD pair is following a short-term bullish trend line with current support at $6080 on the hourly chart. The trend line support is preventing a downside break and holding losses below $6050.
On the upside, an initial resistance is at $6160. A push above $6160 would call for a retest of the $6233 swing high. Above $6233, the price could even attempt a run towards the $6350 level.
On the downside, if sellers succeed in clearing the trend line support and $6050, there can be a test of the 50% Fibonacci retracement level of the last wave from the $5680 low to $6233 high at $5960. Below $5960, the 100 hourly simple moving average is at $5920.
Overall, the BTC/USD pair remains supported near $6050 and $5950. Any major downsides should be limited and bitcoin price is likely to resume its upside above $6160 in the near term since the hourly RSI is well above the 50 level.