Bitcoin Price Set to Reclaim $8K But a Rising Wedge Is Worrying Bulls

Bitcoin price is taking a bit of a breather after breaking flipping the $7,600 resistance to support during the morning trading hours of Nov 29.

While the current technical setup is exciting, bulls will need to supply significant enough volume for the price to break to the upside of the rising channel, above the $7,800 resistance and the 61.8% Fibonacci retracement level.

Buyers stepped in on Friday morning, pushing Bitcoin price from $7,430 to $7,880 before pulling back to $7,750.

Currently, Bitcoin trades in a rising wedge and the price remains capped below the resistance at $7,800.

As mentioned earlier, Bitcoin price has already recovered to the descending channel midpoint and traders who opened positions at $6,540 will look for Bitcoin price to reach $8,000 before taking partial profits and leaving the remainder in play with the hope that the digital asset will set a weekly higher high at $8,550.

It appears that Bitcoin has flipped the $7,600 resistance to support and over the short-term as price consolidates Bitcoin could pull back to the bottom trendline of the descending wedge at $7,658.

This point also lines up with the descending channel midpoint and a high volume node on the VPVR. On the 6-hour timeframe, the Stochastic RSI and relative strength index look ready to roll over but a bounce off the $7,600 support could set Bitcoin price above the $7,800 resistance and toward the main trendline of the rising wedge.

If bulls interpret a cross above the 61.8% Fibonacci retracement level as a bullish signal, a high volume breakout could push Bitcoin price above the 200-day moving average to $8,700 which is quite near the main trendline of the long-term descending channel.

Such an occurrence would be very bullish for Bitcoin and likely lead analysts and crypto Twitter to call for a sky-high pre-halving bull run price estimates again.

If Bitcoin price does reverse below the rising wedge, the price could find support at $7,500 and $7,178.