Just like most currencies and commodities, bitcoin price benefitted from the dollar weakness in yesterday’s trading. BTCUSD finished with a 2.50% profit yesterday as it close at $9,391.25 from its opening price of $9,161.77.
In doing so, the cryptocurrency also broke resistance at the falling trendline which has capped its gains since June 2. On the daily time frame, this becomes apparent when you connect the highs of June 2, June 10, June 22, and July 8. When you enroll in our free forex trading course, you will learn that a break of a trendline resistance is often interpreted as a sign of strong bullish momentum. Should this turn out to be the case, bitcoin price could soon trade higher to $9,798.76 where it topped on June 22. If resistance at that price does not hold, the next ceiling could be at $10,429.26 where BTCUSD topped on June 1.
On the other hand, a strong close below yesterday’s low at $9,152.23 could invalidate this bullish assumption. It may mean that there are still sellers left in the market. Bitcoin price may then trade lower to near-term support around $8,995.00 where the 100 SMA coincides with the lows of BTCUSD for mid-June to late early July.
Bitcoin Price, Daily Chart