However, the $7,000 support area is acting as a strong buy zone. At the moment, bitcoin price is consolidating in a range above the $7,000 support. Additionally, there is a short term contracting triangle forming with resistance near $7,135 on the hourly chart of the BTC/USD pair.
If there is an upside break above the $7,135 resistance, the price could attempt to surpass the $7,240 range resistance. A successful close above the $7,240 resistance is likely to open the doors for a fresh increase towards $7,400 and $7,500.
The first major support is near $7,000. The next one is near the $6,960 level and the 100 hourly simple moving average. The 50% Fib retracement level of the recent rally from the $6,435 low to $7,490 swing high is also near $6,960.
Therefore, the price remains well supported near the $7,000 and $6,960 support levels. Only a daily close below $6,960 could negate the bullish view for a run towards the $7,500 level in the coming sessions.