Bitcoin was trading at $41,200, before it recovered against the US dollar. BTC has to reach $42,800 in order for a further increase.
- Bitcoin traded at $42,000 and continued to decline.
- It is trading at $43,000 below the hourly moving average of 100 hours.
- A crucial bearish trend line is emerging with resistance at $42,780 (data feed Kraken).
- A clear break above the resistance of $42,800 could signal a potential new rise.
Bitcoin Price Approaches Key Resistance
Bitcoin’s price was in negative territory below the $43,000 pivot. BTC broke even the $42,000 support level, and closed below the 100-hourly simple moving average.
The price fell to $41,288. Now, it is correcting higher. A move was seen above the $42,000 resistance area. Price climbed higher than the 23.6% Fib level of the key fall from $43,800 swing high, to $41,288 lowest.
Surprisingly, the initial resistance level is at $42,550. The Fib level is close to the 50 percent Fib Retracement of the pivotal drop from $43,800 high to $41,288 lowest.
Now, the main resistance lies at or near $42,800. On the hourly chart for the BTC/USD pair, there is a critical bearish trend line that forms with resistance at $42,800. A breakout above this trend resistance may lead to a steady rise above $43,000.
Source: BTCUSD from TradingView.com
Near the $43,500 mark is the next major resistance. If there are any further gains, it may be necessary to test the $44,000 resistance level. Next is the $44,800 resistance level.
BTC Drops Freshly
It could plunge if bitcoin does not see a rebound above $42,800. Near the $42,200 mark is immediate support for the downside.
Near the $42,000 support zone is the first significant support. If the price falls below $42,000, it could lead to a reversal towards $41,200. Near $40,500 is the next support zone, and below that, bears could gain more strength.
Hourly MACD – The MACD is slowly gaining pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is above the 50 level.
Major Support Levels – $42,000, followed by $41,200.
Major Resistance Levels – $42,550, $42,800 and $43,500.