Bitcoin price analysis on May 7

Bitcoin price analysis on May 7

Key points

Bitcoin prices rose another 4% and climbed above $5,850.

Although the price of the currency is soaring, there are still many obstacles to clearing $6,000, $6070 and $6,100.

Bitcoin could break through $6,000 or even $6,800 before a sharp correction.

Bitcoin price analysis

In the past few days, bitcoin prices have steadily increased from a low of $4,000. After breaking through $4,400 and $4,700, Bitcoin began a new round of strong gains. The price finally closed at $4,200 and above the 100-hour SMA. Soon after, the buyer pushed the price of the currency up to the last 50% Fibonacci retracement (from a high of $6,652 to a low of $3,115).

More importantly, Bitcoin broke through a key bearish trend line in the hourly price chart with a breakout point of $4,730. Recently, Bitcoin broke through $5,250 and $5,500 to further expand the gains. Currently, the price is above the 76.4% Fibonacci retracement of the last decline (from a high of $6,652 to a low of $3,115). There are more positive signs that Bitcoin will break through $5,900. Although the price of the currency is soaring, there are still many obstacles to clearing $6,000, $6070 and $6,100. It was a support level before $6070 and is now turning into a resistance level.

If Bitcoin can break through $6,100, the price of the currency may climb to a high of $6532. The resistance above $6,500 is around $6,800, the support area around October 2018. Therefore, in the next few days, prices may see a strong downside reaction from around $6,100, $6,500 and $6,800.

Bitcoin price analysis on May 7

As you can see from the chart, there may be strong buying interest around $6,000 and $6070 and around $6,100. If it successfully closes above $6,100, the price will move to $6,500 and $6,800, and then a substantial correction will likely begin.

Technical indicator signal

Daily MACD – MACD is gaining bullish momentum

Daily RSI – RSI climbs above 70 and seems to be heading towards 80

Main support level – $5,450 and subsequent $5,250

Main resistance levels – $6070, $6,500, $6,800

Author: Kiran
Remarks: Bitcoin86 manuscript article, please indicate the source. The article is an independent view of the author and does not represent the standing position.

Disclaimer: This article market analysis is for reference only and does not constitute any investment advice or advice. Risk control, thank you.