Bitcoin has shown positive signals above $39,500 against US Dollar. BTC must surpass $40,250 in order to keep rising.
- Bitcoin began a second recovery wave, and it climbed to the $39800 mark.
- Today, the price traded above $39,000. The 100-hourly simple moving average is also in effect.
- On the hourly chart for the BTC/USD pair, there is an important bullish trendline with support close to $395,580 (datafeed from Kraken).
- For the pair to move higher, they must overcome the resistance of $40.250.
Bitcoin Price Takes a Break
BTC price began a recovery above the $38,500 resistance. BTC moved into positive territory by clearing the $39.250 and $39.500 resistance levels.
A move was seen above the 50% Fib level for the main drop from the $40.774 swing high, to the $37.670 swing low. A major bullish trendline is also visible on the hourly BTC/USD chart with support close to $39 580.
Bitcoin prices are now above $39,000. This is also the simple moving average. The price even soared to $40,000 above its resistance.
There was however no significant resistance above the 76.4% Fib level for the main fall from the $40.774 swing high, to the $37.670 swing low. Surprisingly, a resistance level is located near $40,000 Next, the resistance level could be in the vicinity of $40,250.
Source: BTCUSD at TradingView.com
If the price is close to the $40,250 mark, it could lead to a substantial increase. The price may even exceed the $40,800 barrier in the above scenario. Next major resistance could be at the $41,250 level.
BTC – A New Decline
Bitcoin could begin a new decline if it fails to break the $40,250 resistance level. Support for the downside lies near $39,000.
Near the trend line support and $39 580 is where you will find the next significant support. If the price breaks below the $39,000.500 trend line support, it could be a sign of a further decline. This would mean that the price might drop to the $39,000 mark. A test of the $38,400 support might be required if there is more loss.
Indicators technical
Hourly MACD – The MACD is slowly losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major Support Levels – $39,580, followed by $38,400.
Major Resistance Levels – $40,250, $40,800 and $41,250.