Bulls in Control as BTC/USD Explodes Through Key Resistance
BTC/USD price remains heavily bid after breaking through key resistance levels at $10,500.
Bulls are likely confident, with price having broken its 2-month downward trending channel and now in the process of confirming a larger bullish trend continuation.
Momentum traders will note that key RSI support level of ~50 (more or less) held up as support once again, potentially adding weight to further upside momentum in the short-term trend.
Traders may also note that the 14-day RSI has broken the 80 level for the second time in the current trend, a level only broken (three times) recently in the explosive April - July 2019 rally from $3,000 to $14,000.
After its sustained consolidation, what seemed like an impenetrable resistance level at $10,500 has now become key short-term support. Traders might expect the potential for stop-loss congestion below this level.
Bulls are likely buyers on dips to the top of this blue support zone, with bears eagerly awaiting a break back below this level to confirm a false-breakout and a switch of momentum to the downside.
As global markets pick a direction in the coming weeks, traders will likely pay attention to the degree of correlation BTC/USD holds with the broader risk-on/off sentiment.
As always, stay safe and connect with me on twitter at @savdoescrypto.
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