3 Key Reasons Why Bitcoin Price Could Surge Above $9,500
Bitcoin is trading nicely above the $9,300 and $9,220 support levels against the US Dollar. BTC is likely to continue higher towards $9,500 and $9,800 as long as it is above $9,220.
- Bitcoin is forming a strong support base above the $9,220 support zone.
- The price is currently trading above the $9,300 level and the 100 hourly simple moving average.
- There was a break above a key bearish trend line with resistance near $9,370 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could continue to grind higher considering the current technical formation above $9,300.
Bitcoin Price is Likely To Rise To $9,500
In the past 2-3 days, bitcoin price remained stable above the $9,200 and $9,220 support levels against the US Dollar. BTC seems to be forming a strong support base above the $9,220 support zone.
The recent swing low was at $9,279 before the price climbed higher. There was a break above the $9,300 and $9,350 resistance levels, plus a close above the 100 hourly simple moving average.
The bulls even pushed the price above the 50% Fib retracement level of the recent decline from the $9,416 high to $9,279 low. More importantly, there was a break above a key bearish trend line with resistance near $9,370 on the hourly chart of the BTC/USD pair.
Bitcoin is now trading nicely above the $9,350 level and the 100 hourly SMA. It is testing the 76.4% Fib retracement level of the recent decline from the $9,416 high to $9,279 low. It seems like it could continue to rise above the $9,400 resistance and the $9,416 high.
In the mentioned bullish case, the bulls are likely to aim a test of the main $9,500 resistance zone. A successful close above the $9,500 resistance is needed for a swift rally (as discussed in yesterday’s weekly analysis).
Therefore, a strong support base near $9,220, the recent trend line break, and a positive price action could be the top three reasons for a push towards $9,500 and $9,800 in the near term.
Can BTC Hold $9,200?
On the upside, the $9,400 and $9,500 levels are important barriers for the bulls. If bitcoin fails to continue higher, it could decline again below $9,300.
The main support is near the $9,220 and $9,200 levels, below which there is a risk of a larger decline in the coming sessions.