Bitcoin Price Defends $6K As Upside Potential Builds

May be up slightly at the start of Friday's session, but it remains to be seen if it can build traction above $6,000.

The world's largest cryptocurrency by market capitalization is now down 37 percent from its May 5th high at $9,996 according to CoinDesk's Bitcoin Price Index, though it's rebounded to a crucial support zone at $6,235, according to Bitfinex data.

The figure is notable, as it could be argued bitcoin needs a daily close above the previous low at $6,070 to abort bearish outlook for the coming week.

So far in today's session, it appears a bullish reversal pattern might be playing out.

The inverse head and shoulders pattern as reported by CoinDesk yesterday continues to remain in play as the bears were unable to push the right shoulder below the neckline located at $6,064, adding to the strong possibility of a head-and-shoulders reversal.

The 55 exponential moving average also remains well above the current price, which suggests the troubled crypto remains bearish in the long term until prices start to crash through the crucial $7,000 resistance zone.

Further, the channel between $6,070 and $7,012 remains an incredible uphill battle for the world's most infamous digital cryptocurrency.

If it holds above and remains within the channel another attempt to push toward previous resistances at $6,472 could be possible.

Bitcoin risked falling below the current inverse H&S neckline around $6,073 but has since recovered slightly to keep the pattern in play.

Bulls would like acceptance above $6,400 to abort short-term bearish perspective.