Bitcoin price is consolidating gains above the $70,000 resistance zone. BTC could rise again if there is a move above the $71,500 resistance in the near term.
- Bitcoin price moved into a positive zone above the $66,500 level.
- The price is trading above $70,000 and the 100 hourly simple moving average.
- There is a bullish trendline forming with support at $68,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start another increase if it breaks above the $71,500 resistance zone.
Bitcoin price regains strength
The price of Bitcoin started a decent increase above the $68,800 resistance zone. BTC rose above the $69,500 and $70,000 resistance levels. Finally, the price tested the $71,500 resistance zone.
A new weekly high was formed near $71,557 and the price is now consolidating gains. There was a small decline below the 23.6% Fibonacci retracement level of the upward move from the low of $66,811 to the high of $71,557. However, the price remained stable above $69,000.
Bitcoin is now trading above $70,000 and the 100 hour simple moving average. There is also a bullish trend line forming with support at $68,500 on the hourly chart of the BTC/USD pair. The trend line is near the 61.8% Fibonacci retracement level of the upward move from the $66,811 swing low to $71,557 high.
Source: BTCUSD on TradingView.com
Immediate resistance is near the $70,800 level. The first major resistance could be at $71,500. If there is a clear move above the $71,500 resistance zone, the price could continue to gain strength. In the stated case, the price could even surpass the $72,500 resistance zone in the short term. The next key resistance lies at $73,500.
Another decline in BTC?
If Bitcoin fails to rise above the $71,500 resistance zone, it could begin another decline. Immediate downside support is near the $70,000 level.
The first major support is at $69,000. The next support is at $68,500 and the trend line. If there is a close below $68,500, the price could begin a decline towards the $67,000 level and the 100 hourly SMA. Further losses could send the price towards the $66,000 support zone in the near term.
Technical indicators:
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.
Key support levels – $68,500, followed by $67,000.
Main resistance levels – $70,500, $71,500 and $73,500.
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