Bitcoin price corrected lower, but it remained well above USD 32,000 against the US dollar. BTC is currently rising, but it needs to clear the USD 34,000 resistance for a steady increase.
- Bitcoin is slowly gaining momentum above the USD 33,000 and USD 33,200 resistance levels.
- The price is currently trading above the USD 33,500 level and the 100 simple hourly moving average.
- A strong downward channel is forming with a resistance near USD 34,000 on the hourly chart of the BTC / USD pair (Kraken data feed).
- The pair could start a strong upward move if it clears the USD 34,000 resistance level.
Bitcoin price is showing signs of recovery
There was a reverse side extension in bitcoin price below the USD 33,200 support level. BTC even broke the USD 32,500 support level and the 100 easy hourly moving average. However, the bulls were able to protect the USD 32,000 support zone.
It is bottoming out at $ 32,178 and the price is currently climbing. It broke the USD 32,500 and USD 33,000 resistance levels. There was also a break above the 23.6% Fib retracement level of the downward move from the high of $ 38,612 to the low of $ 32,178.
Source: BTCUSD on TradingView.com
Bitcoin price is now trading above the USD 33,500 level and the 100 hourly simple moving average. It tests the key USD 34,000 resistance zone. A major downward channel is also forming with resistance near USD 34,000 on the hourly chart of the BTC / USD pair.
Channel resistance is close to the 50% Fib retracement level of the downward move from USD 38,612 high to USD 32,178 low. A successful break above the $ 34,000 resistance level could open the doors for greater increase in the coming sessions. The next big resistance is at USD 35,400, followed by USD 36,200.
A refreshing dip in BTC?
If bitcoin fails to clear the USD 34,000 resistance zone, there is a risk of another decline. Initial support is close to USD 33,000. The next big support is near the USD 32,200 level.
Even more losses could push the price towards the channel’s lower trendline at $ 31,500. If the price doesn’t stay within the channel, it could easily plunge into the USD 30,000 support zone.
Hourly MACD – The MACD is slowly gaining pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC / USD is now above the 50 level.
Key Support Levels – USD 33,000, followed by USD 32,200.
Major Resistance Levels – USD 34,000, USD 35,000 and USD 35,400.