Bitcoin prices were finally able to get back above $7,000 on Tuesday after spending most of August consolidating in the low $6,000 range.
As you can see in the daily chart above, Bitcoin has bounced off 6k a few times, which has proven to be a critical pivot level. Prices have broken out of the consolidation and are now trending higher. The next resistance level we will want to watch is $7,500, which is where we have had some consolidation in the past.
Taking a step back to look at the bigger picture you can see that prices have been in a nasty downtrend after peaking near 20k back in December. Ideally with this bounce off 6k we need it to hit prices above our most recent pivot high at 8,500. This will break the downtrend and possibly bring in new buyers looking for a breakout run.
Keep your radar on the 8,500 pivot over the coming weeks to see if buyers can take control of this popular cryptocurrency.
