Bitcoin could witness a rally if the bull persistent to break above the resistance at $6,577.75, the daily chart technical indicates.
BTCUSD defending the symmetrical triangle support of $6,150 in the past 5 trading session, signaling a recovered from the sell-off from the recent highs around $7,400.
As seen in the above chart, the triangle support sloping upwards from the June low and August low could be considered a sign of bearish exhaustion, given that this crucial support is holding ground after a 17.45% drop.
Yesterday close created a "spinning bottom" candle, signaling indecision in the price. A close today above $6,400 would validate the spinning bottom candle, opening doors to a stronger corrective rally toward $6,577 the 20-EMA and maybe even higher to $6,815.
On the other hand, if price closes below the triangle support of $6,150 will likely accentuate the bear case.
- BTCUSD holding above the key support has neutralized the immediate bearish outlook.
- A close today of $6,400 would confirm a spinning bottom bullish reversal and move towards a test of $6,577.
- A close below $6,150 Triangle formation support would open the door for downside towards the June low of $5,767.50.