Bitcoin price rose with a bullish opening gap today during the Asian session. Bitcoin to continue higher towards $10,000 amid COVID-19 volatility? What are the charts and technical indicators are saying? Read more to find further insights into today’s BTC/USD Technical Analysis.
April 27, 2020 | AtoZ Markets – Bitcoin is currently trading around $7710 area and facing resistance at $7760. Moreover, the dynamic levels are holding the price as support on the intraday chart. As per the current scenario, BTC bulls may push higher but need an intraday close above $7760 in the coming days.
Bitcoin is up 2% and broke above $7600 area against the U.S. Dollar. Moreover, Tyler Winklevoss, founder of Winklevoss Capital Management said, “It is evident that recent revisions taken by central banks around the world due to the COVID-19, will trigger major financial reactions in the coming months. He expects plenty of bullish Bitcoin momentum as a result.”
Furthermore, the stimulus packages are unable to show positive signs for the U.S. economy. As a result, U.S. stocks and Oil price remain incredibly volatile. Even, BTC stays on a very depth investment, despite recovered from $4350 with relative ease. Moreover, the U.S. Fed could be the next central bank to proceed on negative interest rates, according to the ex-president of the Minneapolis Fed. Narayana Kocherlakota also added, “Unprecedented situations require unprecedented actions. That’s why the U.S. Federal Reserve should fight a rapidly deepening recession by taking interest rates below zero for the first time.”
Bitcoin to Continue Higher as the U.S. Economy Is Sinking
BTC is currently residing near $7710 area and trying to recover higher. Bitcoin current price action is quite volatile and corrective, which may need an impulsive break out to sustain higher in the process.
Image: Bitcoin 1 Hour Chart
According to the 1-hour chart, BTC is currently residing near $7710 area and held by the dynamic levels. So, if the price breaks above $7760 area with an impulsive 1-hour bullish close, the bulls may push the price higher towards $8110 area in the days ahead. Furthermore, according to the Ichimoku Price Theory, the D point is expected to be around $8110 area.
Moreover, the dynamic level of 20 EMA is currently residing below the price, along with the Kijun line. The dynamic levels may act as strong support to push the price higher. Besides, the MACD lines are residing above the 0.00 level, which indicates bulls are still holding the bullish momentum.
Can BTC Break Above $8500 Area?
According to the Daily chart, BTC broke above the dynamic level of 20 EMA and Bitcoin to continue higher. As per the current price action, BTC bulls may push the price higher towards $8500 area in the coming days. So, if the price reaches $8500 area and rejects with a daily bearish close, the bears may regain momentum and push the price down towards $7500. Alternatively, if the price breaks above $8500 area with an impulsive bullish daily close, the bulls may recover higher towards $10,000 in the days ahead.
Image: Bitcoin Daily Chart
Moreover, the dynamic level of 20 EMA is currently residing below the price, which may act as a strong support to push the price higher. Besides, the Stochastic Oscillator lines are currently residing near the overbought level 80, which indicates bulls may hold the bullish momentum further.
To conclude, Bitcoin has excellent potential currently to continue higher as a safe haven asset amid Covid-19 pandemic. As the U.S. economy is under tremendous pressure, further interest rates cut may be helpful for the BTC to recover higher in the coming days.