Bitcoin started a fresh rise above the $28,500 support area against the US Dollar. BTC could rally if there is a clear move above the $30,600 resistance area.
- Bitcoin formed a double bottom pattern near $28,500 and climbed higher.
- The price is now trading above the $30,000 level and the 100 hourly simple moving average.
- There is a major bullish trend line forming with support near $29,800 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- If there is a clear move above $30,600, the pair could gain bullish momentum.
bitcoin price may soon reverse
Bitcoin price is holding above the $28,500 support area. It seems like there was a double bottom pattern forming above $28,500 before the price started a fresh rally.
There was a clear move above the $29,500 resistance area and the 100 hourly simple moving average. The price even climbed above the $30,000 resistance area. However, the bears are still active near the $30,600 resistance area.
The price traded as high as $30,500 and it is currently correcting lower. There was an upside move from the 23.6% Fib retracement level of the $29,225 low to $30,500 high.
On the downside, there is a major bullish trend line forming with support near $29,800 on the hourly chart of the BTC/USD pair. It is now trading above the $30,000 level and the 100 hourly simple moving average. An immediate resistance is near the $30,450 level. The next major resistance is near the $30,600 level.
Source: BTCUSD on TradingView.com
A clear move above the $30,450 and $30,600 resistance levels could start a strong rally in the near term. The next key resistance could be near the $31,500 level, above which the price could move towards $32,500.
Recent fall in BTC?
If bitcoin fails to clear the $30,600 resistance area, it could start a fresh decline. On the downside, immediate support is near the $30,000 level. The first major support is near the $29,850 level and the trend line.
The trend line is near the 50% Fib retracement level of the upward move from $29,225 low to $30,500 high. A clear move below the trend line could send the price towards the $28,500 support level.
Technical Indicators:
Hourly MACD – The MACD is now slowly losing momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Key Support Level – $29,850, followed by $29,600.
Major resistance levels – $30,600, $31,200 and $31,500.