BTC/USD Price Likely to Bounce at $6,121 Level


Photo: / Flickr

Photo: / Flickr

Key Highlights:

  • The Bulls are may take over the Bitcoin market;
  • the breakup at $6,121 level will expose $6,332resistance level;
  • the Bitcoin price may bounce at $6,121 level.

BTC/USD Medium-term Trend: Bullish

Resistance levels: $6,121, $6,232, $6,341
Support levels: $5,946, $5,840, $5,716

BTC/USD is bullish on the medium-term outlook. On May 06, the Bulls defended the $5,946 demand level and the Bitcoin price bounced, rallied towards $6,121 level, due to the strong strength of the Bulls, it penetrated the mentioned level and touched $6,332 level.

BTC price pulled back as a result of loss in momentum. The bears took over by the formation of Doji candles. $6,121 level was broken downside by the Bearsโ€™ pressure and the coin found support at dynamic support of 21-period EMA.

The Bitcoin price and the EMAs are still in touch consolidating on the 21 EMA. Bitcoin is trading on the 21 periods EMA and 50 periods EMA directly; this indicates that the Bulls are gradually losing their strength.

The bearish movement may continue and reach the demand level of $5,946 in case the Bears further exert more pressure. The bullish movement can continue only when the Bulls break up the $6,121 level. The Moving Average Convergence Divergence period 12 with its histogram is below zero levels and the signal lines bending down to connote sell signal.

BTC/USD Short-term Trend: Ranging

BTC/USD is ranging in the short-term outlook. A strong bearish candle emerged yesterday that broke down the two dynamic supports and resistances together with $6,121 level and the price dropped towards $5,946 but the Bears would not allow a further decrease in Bitcoin price.

The long bearish candle was pushed up to form a pin bar. Immediately after that, the coin started consolidating at $6,121 level.

However, the MACD period 12 is gradually turning up and the signal lines turning to the north to indicate the presence of the Bulls with high pressure.

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