$6,800 Ceiling? New Resistance Capping Bitcoin's Corrective Rally

Bitcoin's bulls are struggling to push prices higher, despite a still-favorable short-term set-up on the technical charts.

Bitcoin rose to a six-day high of $6,580 on Monday on Bitfinex, adding credence to indications that the cryptocurrency could be in for a relief rally.

The bullish bias has strengthened further in the last two days too, courtesy of a bullish Bollinger band breakout and a bullish crossover between the 5-day and 10-day moving average.

Bitcoin refused to embrace the negative narrative on Wednesday after the $31 million hack of South Korea's Bithumb exchange, indicating that the sellers are likely running dry.

Despite all this the cryptocurrency has struggled to find acceptance above $6,800 in the last 72 hours, as seen in the chart below.

Bitcoin printed intraday highs above $6,800 in the last three trading days, but still closed well below the $6,800 mark.

A break below $6,550 would put the bears back in the driver's seat and allow a drop to $6,000.

A drop below $6,550 would also push the relative strength index below the ascending trendline, further strengthening the bear case.

View The immediate outlook remains bullish as long as bitcoin is holding above $6,550.

A daily close below $6,000 would expose the next major psychological support of $5,000.