BTC Price: key levels to keep an eye on while bulls reach $18,600
Bulls recorded an increase in the BTC/USD pair to peaks of $18,600 and may rise higher if they keep prices at key levels
Bitcoin’s recovery from last week’s sell-off saw bulls rise to levels near $18,700. While the cryptomoeda remains vulnerable, to a retreat to the lows seen Crypto Genius review over the weekend, the technical framework offers the bulls hope to test $19,500 again – if they maintain key price levels.
Given the outlook, the BTC bulls will be in a great position if they maintain the bullish momentum seen in the last 48 hours.
Key Levels for BTC/USD
Two analysts identified the main price levels to watch after Bitcoin recovered from lows of $16,200 to trade above $18,600.
According to Michael van de Poppe, the short-term goal for BTC bulls is to keep prices above the $17,700 – $17,850 levels. The analyst noted that keeping prices above these levels is the key to avoiding a downward breakout that could cause the BTC/USD pair to fall back to lows of $16,000. The level ($17,700-$17,850) is home to the 0.5 Fibonacci level ($17,814) of the $19,490 move from a maximum to a minimum of $16,218.
The next major price level is $18,253, which acted as a resistance/support area last month. If bears strongly reject this level, the pullback may include a spiral to the mentioned minimums.
However, a peak above $18,500 will open a path to $19,000 and last week’s peak.
Another analyst, Josh Rager, said that Bitcoin’s recovery over the last two days puts the BTC/USD pair „among some key levels at lower maturities.
The BTC/USD chart suggests a new test of $19,300. Source: Josh Rager on Twitter
According to the trader, the main levels to be observed are $ 18,265 and $ 18,800. A breakout above the latter could take the bulls up to $19,300, while a collapse could undo all weekend gains.
4-hour chart for BTC/USD
BTC/USD price chart 4 hours. Source: TradingView
The 4-hour chart shows that the BTC/USD pair is looking to breach resistance at the 0.786 Fibonacci level from a high of $19,490 to a low of $16,218 at $18,713.
The area provides a key support/resistance line above which bulls can retest $19,386. If the uptrend takes the price above the barrier, consolidation around the $19,500 level may provide the impetus for further advantage.
On the other hand, a price rejection at the time of writing could cause the BTC/USD pair to return to the 0.618 Fibonacci level and then to the 0.5 Fib level – at $18,185 and $17,814 respectively.
At the time of writing, the BTC/USD pair was trading around $18,643.
The next development in the trend will largely depend on whether the price remains above or falls below key levels in the next few sessions.