Bitcoin Price Trades Shy of $7,000 Amid Trendline Resistance

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The bitcoin price on Friday continued to experience strong resistance below the key level $7,000 in a consolidative triangle pattern. The price of the pioneer cryptocurrency continues to enjoy a slow bullish bias just above the 100-hour SMA. The 200-hour SMA is a few pips below, which further supports a bullish case.

The price of bitcoin is also pegged at the center of the 60-min RSI indicator. This indicates that the current trend could continue through next week. Bitcoin is now heading towards the 76.40% Fib level on its recovery from the March 11-13 plunge.

Bitcoin Price Fundamentals Overview

From a fundamental perspective, the bitcoin is trading at a time when the world has been thrown into turmoil. The coronavirus pandemic has now infected nearly 600,000 people globally with nearly 27,000 succumbing to the virus at the time of this writing. This has affected global financial markets with several countries taking drastic measures to combat the spread of the virus. Lockdowns, social distancing, quarantine, and self-isolation continue to be implemented across the globe. This has slowed business activity at a multi-sector level.

Besides this, the US economic data continues to disappoint. This theoretically creates a bullish sentiment towards the BTC/USD. In the latest round of economic data, the US Markit Services PMI continued to disappoint after missing expectations of 42 with 39.1. However, manufacturing offered a glimmer of hope after beating 42.8 with 49.2. The initial jobless claims were the highlight with a staggering figure of 3.283 claims versus an expectation of 1M.

Bitcoin Price Technical Analysis (the 60-min Chart)

Technically, the price of bitcoin appears to be trading under relative bullish bias in a consolidative triangle formation. This could lead to a bullish breakout in the near future. The BTC/USD also appears to be enjoying trendline and moving average support for a bullish run.

The bulls will target short-term profits at around $6,984 or higher at $7,385. On the other hand, the bears will look to pounce for profits at around $6,383 or lower at $5,911.

Bitcoin Price Technical Analysis (the Daily Chart)

In the daily chart, the BTC/USD appears to have resumed trading within the descending channel. This indicates a long-term bearish bias in the market sentiment. Bitcoin is now facing strong trendline resistance. This could trigger a pullback.

The bears will target long-term pullback profits at around $5,436 or lower at $4,443. On the other hand, the bulls will look to extend the rebound towards $7,242 or higher at $8,044.

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