Bitcoin experienced a gradual recovery above $42,000 against US Dollar. BTC reached $43,000, and bulls may be aiming for higher upsides than $43,500.
- Positive signs are being seen for Bitcoin above $42,000 Support Zone.
- The price trades above $42,000.
- A key bullish trend line is showing support at $42,200 (data feed Kraken).
- In the short term, the pair could continue their recovery and challenge the $44,000 resistance area.
Bitcoin price starts to recover
The Bitcoin price formed support and rose above $42,000 resistance. BTC reached the $42,500 mark and moved into the positive zone by moving above the simple 100 hour moving average.
This upward movement picked up speed and the price reached $43,000. The price has corrected its gains and has reached a high of $43,127. The price traded below $42,800 as support. The move was below the 23.6% Fib level of the upmove from the $41,315 low to the $43,127 high.
On the hourly chart for the BTC/USD pair, there’s a bullish trendline that is currently forming. It has support close to $42,200. Bitcoin trades above $42,000, the simple moving average 100 hours per hour.
Source: BTCUSD at TradingView.com
Surprisingly, the initial resistance to the trend is at the $43,000 mark. Next is the $43,200 area. Additional gains can push the price up to the $44,000 mark. Near the $45,000 mark is the next significant resistance.
BTC’s Latest Decline
It could lead to a further decline if bitcoin does not recover from $43,000. Near the $42,500 mark is an immediate support zone. Near $42,200 is the first support and it’s also where you will find the bullish trendline.
Trend line support is at 50% Fib. This level represents the downward move from $41,315 swing lows to $43,127 highs. If the trendline support is breached, the price could fall below $41,800 and reach the 100-hourly SMA. The price could move towards the $40,000.500 zone if it suffers further losses.
Indicators technical
Hourly MACD – The MACD is now 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 – $42,200, followed by $41,800.
Major Resistance Levels – $43,000, $43,200 and $44,000.