BTCUSD Medium-term Trend: Ranging
Resistance levels: $6,600, $6,800, $7,000
Support levels: $6,200, $6,000, $5,800
Yesterday, the BTCUSD pair was in a downward trend and the price fell to the low of $6,200 - the lower level of price range. One of the scenarios that was mentioned yesterday was that the price might test the lower level of price range and revert back to the upper price level. One of these upper price levels is the $6600 price level. If the price of Bitcoin breaks the $6,600 price level, the next target will be the $6,800.
If the bulls overcome these levels,the price will reach the highs of $7,400 and $8,000. Meanwhile, traders should initiate long trades in anticipation of a bullish trend. A stop loss order should be placed below the $6,200 price level .These long trades should be left open as long as the price remains bullish. On the downside if the bears break the lower price level, the $6,000 price level will be tested.
BTCUSD Short-term Trend: Ranging
Looking at the short trend, the price of Bitcoin is fluctuating above the $6,200 price level. The Relative Strength index period 14 is level 34 which indicates that the market is oversold - signaling the bears' exhaustion and suggesting bulls will take control of the market.
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