Bitcoin Gains Momentum, Why Rally Isn’t Over Yet

Bitcoin began a new rise from the $45,500 area against the US Dollar. BTC is on the rise and could see a significant move higher than the $50,000 resistance.

  • Bitcoin saw a new increase over the $48,500 resistance area.
  • The current price of the stock is above $48,000, and it has surpassed the simple moving average for 100 hours.
  • The hourly chart for the BTC/USD pair shows a rising channel with support close to $48,750 (datafeed from Kraken).
  • It is possible for the pair to move higher beyond the $50,000 resistance.

Bitcoin Prices Continue to Recover

Bitcoin prices formed a solid base, and then started to rise again above $46,500. BTC moved above $47,500 and reached the 100-hourly simple moving average.

This upward movement was so strong that price crossed the $48,500 resistance. The price moved above the Fib retracement of the pivotal decline from $48,289 high to $45,600 low at 76.4%. Bulls even drove the price higher than the $49,000 mark.

Near $49,600 a high was formed and now the price shows a lot positive signs. The hourly chart shows a channel of rising support with support close to $48,750 for the BTC/USD currency pair.

Bitcoin Price

Source: BTCUSD at TradingView.com

Bitcoin trading at 23.6% Fib level is a good indicator of Bitcoin’s ascending move from its $48,295 swing low, to its $49,000. high. The $49,600 area is where it faces resistance. 50K is the next major resistance. An increase of at least 50% could be possible if the resistance zone is breached above $50,000. A move above the $50,000 resistance zone could be the next big stop for bulls. It may also reach the $51,200 mark.

BTC Dips Limited

It could cause a major correction in bitcoin if the resistance area of $50,000 is not cleared. Support for the downside lies near $49,000.

It is close to $49,000 for the first major support. This is just below the 50% Fib level of the upward swing from the $48,295 swing high to $49,600 low. A price drop below $49,000 may push it towards $48,500 support. Below that, the price could reach $48,800.

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 currently well above the 50 level.

Major Support Levels – $49,000, followed by $48,500.

Major Resistance Levels – $49,600, $50,000 and $51,200.

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