Bitcoin Takes Aim At $7,400: Is It Getting Closer To A New Resistance?

The end of the year is only at a few days off as we can see, and the latest Bitcoin news show that the most dominant cryptocurrency is trying to break out but does that painfully, going slower and slower. As it stands, Bitcoin takes aim at new resistance near $7,400 and many analysts are predicting that this may be the final move to $10,000 we have all been waiting for.

But is it really a move that is as strong as that one?

We couldn’t say much mostly because of the digital asset’s inability to change the bearish trend which has held a tight grip on the price since June 26, which was the most recent price action where BTC managed to break out and visit higher grounds.

While Bitcoin takes aim at new zones in the $7,000 region, the daily chart shows that the price continues to trade in a tightening range and the Bollinger Bands indicator suggests that traders can expect some volatility in the coming few days as the upper and lower bands are tightening and the monthly close fast approaches.

The price of the most dominant coin is also seen as standing in “a golden pocket” – which is essentially the zone between the 0.65% and the 0.68% Fibonacci retracement levels. However, we still could not figure out whether the signals are bullish or bearish.

Some say that if the price is rising in the golden pocket, it can be interpreted as a place to open a short position, especially if we see strong overhead resistance. In contrast, if Bitcoin takes aim in the golden pocket zone, traders will see this as a major opportunity to open a position and wait for a bounce.

However, what’s real is that BTC is trading at $7,331 today and is en route to $7,400 which is the next level everyone should focus on. The Ethereum news today and XRP updates also show positive signs – but the biggest altcoin (ETH) still finds it hard to break out of the $120 levels.

All in all, momentum is building and Bitcoin takes aim at higher levels. In order for these moves to be sustained, the price would need to go above $7,290 and flip $7,300 to support and take another shot at the $7,400 resistance.