Bitcoin has risen further to $42,000 against the US Dollar. BTC shows positive signs and could rally higher above $42,200.
- Bitcoin has remained stable above $41,000-$41,100 levels.
- Now, the price trades above $41,500. The 100-hourly simple moving average is also in play.
- A key bullish trend line is showing support at $41,050 (data feed Kraken).
- If the pair reaches above $42,000, it could start an upward movement.
Bitcoin price gains pace
Bitcoin prices increased above $41,500 resistance zone. BTC has even crossed the $42,000 barrier and settled higher than the simple 100-hour moving average.
Before the downside correction began, a high was reached at $42,235. The pivot point of $41,500 was breached. Even though the price spiked to below $41,000, it maintained support at the $40,900 level.
New base has been formed, and now the price is back above $41,500. Bitcoin rose above the 50% Fib level, which is the retracement of Bitcoin’s recent drop from its $42,235 swing high and $40,900 low. The bitcoin price is currently above $41,500 as well as the simple 100-hour moving average.
The key bullish trend line is also present with support close to $41,725 USD pair. The $41,725 mark is the immediate resistance.
Source: BTCUSD from TradingView.com
Also, the level of the Fib retracement at 61.8% for the recent fall from the $42,235 swing low to $40,000.0 is close to the $41,725 threshold. There could be $42,000 as the next major resistance. The price should rise above $42,000 and clear $42,230 to begin a strong uptrend. If bulls succeed, then the price will rise towards $43,200.
BTC Dips
A downside correction could occur if bitcoin does not clear the $42,000 resistance area. Near the $41,250 mark, there is immediate support to the downside.
Next major support will be found near the trendline zone at the $41,000 level. A break below the trendline could send the price down to $41,000 or the 100-hourly simple moving average.
Indicators technical
Hourly MACD – The MACD is slowly 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 – $41,250, followed by $41,000.
Major Resistance Levels – $41,725, $42,000 and $42,500.