Bitcoin accelerated above the $39,000 resistance to the US Dollar. Bitcoin even crossed $40,000, and may continue its rise in the short term.
- Bitcoin experienced a steady increase in value above the resistance levels at $38,800, $39,000 and $38,000 respectively.
- The current price trades above $39,000, and the simple moving average is 100 hours.
- On the hourly chart for the BTC/USD pair, there was a breakout above the major bearish trendline with resistance at $38,475 (data feed Kraken).
- They might try to find more upsides than the $40,300 and $40,000 levels.
Bitcoin Price Breaks Higher
The Bitcoin price established a solid base at $37,500. BTC saw a steady uptrend and reached the $38,500 threshold.
On the hourly chart for the BTC/USD pair, there was a break above the main bearish trend line. Resistance near $38,475 was seen. It settled higher than the 39,000 level and the 100-hourly simple moving mean. Finally, the pair surged above $40,000 resistance.
It has formed a high near $40,029. The price is consolidating its gains. The price is well above the 23.6% Fib Retracement Level of the most recent wave, which spans the $37.507 swing low and the $40,029 high.
Source: BTCUSD from TradingView.com
Bitcoin price has been facing support near $40,000, which is positive. Next resistance is likely to be in the vicinity of $40,300. The market could feel more positive if it closes above the $40,000.300 level. The price may rise to $41,000 in the above scenario. Nearly $41,500 is the next resistance.
BTC Dips
Bitcoin could begin a downtrend correction if it fails to break the $40,000 resistance level. The $39,500 support level is the immediate support for the downside. Near the recent breakout zone, at $39,000, is where you will find next significant support.
A test of the 50% Fib level to determine if there have been any further losses from the last wave, which saw a swing of $37,507 lows and a high of $40,029 highs, might be required. The bulls could be under pressure if they fall below the $38,750 resistance. The $38,500 support and the simple moving average 100 hours per hour are next.
Technical indicators
Hourly MACD – The MACD is slowly losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now well above the 60 level.
Major Support Levels – $39,500, followed by $39,000.
Major Resistance Levels – $40,000, $40,300 and $41,000.