Bitcoin Price Still Seeking Buyers Despite Passing Key Trendline

Bitcoin's price remains in a tight range below $6,500 despite recently breaching a key price hurdle.

The leading cryptocurrency cleared the resistance at the trendline drawn between the July 25 and Sept. 4 highs on Oct. 10., yet the bullish breakout failed to put a bid under BTC, leaving it directionless in a narrow range of $6,476-$6,376.

The heightened risk aversion, as represented by a 3 percent drop in the S&P 500, could be bad news for bitcoin as the cryptocurrency is still considered a risky asset.

The blue-chip index has been leading the bitcoin market by 12 hours or more over the last few weeks.

If BTC continues to show resilience in the next few hours, then the prospects of a range breakout would improve.

A break below $6,376 could embolden the bears, driving prices down to key support at $6,230.

Over on the monthly chart, BTC seems to have carved out a bottom along the 21-month EMA. However, the 5-month and 10-month EMAs produced a bear cross last month.

As a result, a break below the 21-month EMA cannot be ruled out as long as BTC is trading below the 10-month EMA of $7,114.

View A range breakout could happen if BTC continues to defend support at $6,376 despite the risk aversion in the stock markets.

A monthly close below the 21-month EMA will likely prove costly.