Technical Analysis: Bitcoin Gains Speed Again! Here are the Expected Levels in BTC
The leading cryptocurrency Bitcoin started a new increase recently and has been gaining above the $50,000 level for a while. However, BTC is currently showing positive signs and a break above the $52,000 level could open the doors for more gains.
- Bitcoin settled above the $50,000 resistance zone and the dips continued to be supported.
- The price is trading well above $50,000 and the 100 hourly simple moving average.
- There was a break above a key bearish trend line with resistance near $50,400 on the hourly chart of the BTC/USD pair.
- The pair is gaining momentum and it could clear the $51,200 resistance area in the near term.
Bitcoin Price Gains Speed
Bitcoin ( BTC ), the largest cryptocurrency by market cap, started a minor downside correction from the $51,800 region. So much so that with this correction, BTC even declined below the $51,200 level to move into a short-term bearish zone.
However, there was also a break below the 50% Fib retracement level of the upward move from the $48,105 high to $51,800 high, while declines were limited below $50,000.
The leading cryptocurrency is currently trading well above $50,000 and the 100 hourly simple moving average. There was also a break above a key bearish trend line with resistance near $50,400 on the hourly chart of the BTC/USD pair.
An immediate resistance on the upside is near the $51,200 level, while the next key resistance could be forming near $51,500. Therefore, a clear move above the $51,500 resistance area could open the doors for a fresh increase.
Then the next big stop for the bulls is likely near the $53,500 level.
Is a Drop Possible in BTC?
But not anticipated and Bitcoin does not pass the resistance of 51,200 dollars, leading crypto- currency unit may begin another downward correction. In this case, the critical levels to be followed are as follows;
An initial support on the downside is near the $50,200 level, while the first major support is forming near $50,000. A downside break below the $50,000 level could push the price towards the $49,400 support. Any further losses in bitcoin could likely pull the price towards the $48,500 support zone.
Hourly MACD – The MACD is slowly gaining momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is well above the 50 level.
Major Support Levels: $50,200 followed by $50,000.
Major Resistance Levels: $51,500, $52,000, and $53,500.