Bitcoin Price Rally Pauses But Upsides Could Restart

Bitcoin made a sharp upward movement above $43,000 against USD. BTC soared to above $44,000, and is currently correcting downward.

  • Bitcoin advanced to a level above $43,000 resistance.
  • The price trades above $42,500.
  • On the hourly chart for the BTC/USD pair, there is an important bullish trendline with support close to $43,200 (datafeed from Kraken).
  • Although the pair has corrected gains, dips below $43,200 could still be possible.

Bitcoin price continues to recover

After a close above $42,000 resistance, Bitcoin prices picked up. BTC even crossed the $43,200 threshold and closed above the 100 hourly simple movement average.

Even higher than $44,000, the price spiked. The price has corrected its gains and has reached a high of $44,348. The price traded below $44,000. The Fib retracement level at 23.6% of the upward swing from the $42,505 swing low and the $44,348 peak was broken below.

A major bullish trend line is also forming, with support at $43,200 in the hourly charts of the BTC/USD pair. Bitcoin trading at above $42,500 as of the hourly simple moving Average (100 hours).

Bitcoin Price

Source: BTCUSD from TradingView.com

The initial resistance for the upside is at the $44,000 mark. Near the latest high, at $44,200 is the next significant resistance. Gains could push the price to $45,000. Near the $45,500 mark is the next significant resistance.

BTC Drops Freshly

It could move lower if bitcoin does not rise to $44,000. Near the $43,400 area is immediate support for the downside. Near the $43,400 mark is the 50% Fib level that reflects the upward movement from $42,505 low to $44,348 high.

Near $43,200 is the first support and the bullish trends line are its second. If the trendline support is broken, a downside breakout could push the price down to $42,200 and the 100-hourly SMA. In the next sessions, any further losses could push the price to the $41,500 level.

Technical indicators

Hourly MACD – The MACD is now gaining pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.

Major Support Levels – $43,400, followed by $43,200.

Major Resistance Levels – $44,000, $44,200 and $45,000.

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