Bitcoin Price Defends $6K As Upside Potential Builds

Bitcoin (BTC) may be up slightly at the start of Friday’s session, but it remains to be seen if it can build traction above $6,000. The world’s largest cryptocurrency by market capitalization is now down 37 percent from its May 5th high at $9,996 according to CoinDesk’s Bitcoin Price Index, though it’s rebounded to a crucial support zone at $6,235, according to Bitfinex data.

The figure is notable, as it could be argued bitcoin needs a daily close above the previous low at $6,070 to abort bearish outlook for the coming week. This would provide greater confidence to the market as a whole, and could possibly spark another minor bullish revival seen over the last eight days. And so far in today’s session, it appears a bullish reversal pattern might be playing out.

The inverse head and shoulders pattern as reported by CoinDesk yesterday continues to remain in play. Significant resistance awaits at $6,400, $6900, $7,021 and $8,046. The Relative Strength Index (RSI) on the daily so far offers some solace to back the current H&S reversal which is currently bouncing from the 41.8 point line, previously seen as resistance.

RSI has yet to dip significantly – adding room for further upward momentum.

Bulls would like acceptance above $6,400 to abort short-term bearish perspective.

Источник: FxTeam