TA: Bitcoin Trims Gains, But Here’s How BTC Could Rise Again
Bitcoin price traded to a new all-time high near $64,892 before correcting lower against the US Dollar. BTC tested the $61,500 level and it is now showing a few positive signs.
- Bitcoin climbed further above the $63,000 and $64,000 resistance levels.
- The price is now trading well above the $62,000 level and the 100 hourly simple moving average.
- There is a major bullish trend line forming with support near $61,850 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair is likely to start a fresh increase as long as it is above the $61,120 support zone.
Bitcoin Price is Correcting Gains
Bitcoin remained in a positive zone above the $62,000 level. BTC even extended its rise above the $63,000 and $64,000 resistance levels. It traded to a new all-time high at $64,892 before it started a downside correction.
There was a break below the $64,000 and $63,000 levels. The price declined below the 50% Fib retracement level of the upward move from the $59,700 swing low to $64,892 high. There was even a spike below the $62,000 support zone.
However, the bulls appeared near the $61,500 level. It remained well bid near the 61.8% Fib retracement level of the upward move from the $59,700 swing low to $64,892 high.
Source: BTCUSD on TradingView.com
There is also a major bullish trend line forming with support near $61,850 on the hourly chart of the BTC/USD pair. The pair is now recovering, and trading well above the $62,000 level and the 100 hourly simple moving average.
An initial resistance is near the $63,500 and $63,700 levels. The next major resistance is near the $64,000 level, above which the price is likely to climb to a new all-time high.
Dips Limited in BTC?
If bitcoin fails to climb above $63,500 and $63,700, there could be another downside correction. An initial support on the downside is near the $62,000 level.
The main support is now forming near the $61,800 level and the trend line. A downside break below the trend line support might call for a test of the key $61,120 support zone in the near term.
Technical indicators:
Hourly MACD – The MACD is now losing momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now close to the 50 level.
Major Support Levels – $61,800, followed by $61,120.
Major Resistance Levels – $63,500, $63,700 and $64,000.