Bitcoin has been extremely volatile since the bounce off the $4,000 area with a daily close. The price recently managed to gain momentum amid bullish pressure which broke above the $3,880 event level with a retest.
The break below $3,880 is currently viewed as a false break whereas the bullish momentum above is expected to be quite strong pushing higher towards $4,000. The bulls are still quite active in Bitcoin, so impulsive bullish pressure with strong rejection can be observed above $3,000. The dynamic level of 20 EMA is currently residing below the current price in this volatile range which is expected to lead to an advance towards $4,000 in the future. As the price remains above $3,500-600 support area with a daily close, the bullish bias is expected to continue.
SUPPORT: 3,500, 3,600, 3,800-80
RESISTANCE: 4,000, 4,250
The material has been provided by InstaForex Company - www.instaforex.com