Bitcoin experienced a renewed increase over the $42,500 resistance zone against the US Dollar. BTC might soon try an upside breakout above the $43,500 resistance.
- Bitcoin was supported at $42,000, and the new increase began.
- The price traded above $42,500, and the simple 100-hour moving average is at its highest.
- On the hourly chart for the BTC/USD pair, there is an important bullish trendline with support close to $42,300 (datafeed from Kraken).
- A clear break above $43,300 would allow the pair to accelerate even further.
Bitcoin price eye-upside break
After a downturn, Bitcoin prices found support in the vicinity of $42,000. BTC established a base, and began a new increase over the $42,500 resistance area.
The price moved above $42,800 and settled below the simple 100-hour moving average. It even climbed above $43,000 and reached a peak of $43,288. Now, it is consolidating around the $43,000 level.
Below the 23.6% Fib level, which was the retracement point of the last wave that ran from the $41,811 swing high to the $43,288 low, there was a movement. A major bullish trend line is also forming on the hourly charts of BTC/USD pairs with support at $42,300.
The upside is that the price faces resistance at the $43,300 mark. Near the $43,500 level could come next. Another steady rise could be possible if you break the $43,500 barrier and make a close.
Source: BTCUSD at TradingView.com
If the case is true, then the price may rise to the $44,200 mark. Price could rise to $45,000 if there are more gains.
BTC Dips Limited
Bitcoin could fall further if it fails to break the $43,500 resistance level. Support for the downside lies near the $42,500 mark.
Near the trend line, and at $42,300, is where you will find the next significant support. This support is close to the 61.8% Fib level of the most recent wave, which ran from the $41,811 swing high to the $43,288 low. Main support remains near the $42,000 level. If the support zone drops below $42,000, it could lead to a fall towards the $40,000.
Technical indicators
Hourly MACD – The MACD is now gaining pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major Support Levels – $42,500, followed by $42,000.
Major Resistance Levels – $43,300, $43,400 and $44,200.
