BTCUSD Price Key Highlights
- BTCUSD price has been on a tear these days, breaking above one key resistance level after another.
- Price seems to have its sights set on the yearly highs at the $500 major psychological mark.
BTCUSD price is currently inside a short-term consolidation pattern but, if the previous breakouts are to be considered, another upside move might be in the cards.
Bullish Momentum Building Up
The 100 SMA just made an upward crossover from the 200 SMA, signaling that the path of least resistance is to the upside. However, stochastic is already indicating overbought conditions, which means that bulls might need to take a break soon.
If so, a quick pullback to the nearby area of interest at the $400 major psychological level could be possible before BTCUSD price resumes its climb. A larger pullback to the $375 level or the $350 area near the moving averages might also be possible if profit-taking takes place.
Stochastic hasn’t crossed below the overbought region, which means that buyers are still on top of their game. RSI appears to be looking south but is still treading sideways at the moment.
Meanwhile, the average directional index is above the 50.0 level so trending market conditions are in play. This means that the ongoing uptrend might have enough energy to carry on. A move below the 50.0 level might suggest a return to ranging market conditions.
An upside break past the $425 area could lead to a rally all the way up to the $500 level, which was reached during the sharp BTCUSD rally spurred partly by the Russian Ponzi bitcoin scheme. Another test of this area could yield a sharp decline once more, as plenty of take-profit orders are likely located there.
Intraday support level – $400
Intraday resistance level – $450
Charts from Bitstamp, courtesy of TradingView
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