FX.co ★ Bitcoin at major resistance close to providing new buy signal

Bitcoin was forming an inverted head and shoulders pattern as we explained in previous posts. Bulls need to break above the resistance at $59,000-$60,000 in order to activate the pattern. Yesterday price briefly broke out of resistance but soon after turned back below it. This false breakout is not a good sign.

Red rectangle - resistance

BTC/USD is trying once again to break above the major resistance area in order to continue higher towards $65,000 and $75,000. Trend remains bullish as long as price is inside the blue upward sloping channel. Support is found at $56,00-$56,600. Bulls need to defend this price level otherwise we might see a change in short-term trend.