Bitcoin price has recovered above the $62,000 resistance zone. BTC must clear the $62,500 resistance zone to continue rising in the near term.
- Bitcoin began a recovery wave above the $61,500 and $62,000 levels.
- The price is trading below $63,000 and the 100 hourly simple moving average.
- There is a bearish trend line forming with resistance at $62,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair may struggle to rise above the $62,500 and $63,000 resistance levels.
Bitcoin Price Faces Resistance
Bitcoin price extended losses below the $60,000 support zone. BTC even tested the $58,500 support zone where bulls emerged. A low was formed at $58,448 and the price is now correcting losses. There has been a decent rise above the $60,000 level.
The price rose above the 50% Fibonacci retracement level of the descending wave from the swing high of $64,460 to the low of $58,448. It even surpassed the $62,000 pivot level. However, Bitcoin price is still trading below $63,000 and the 100 hourly simple moving average.
The price seems to be facing a rejection zone near the $62,500 resistance as discussed yesterday. There is also a bearish trend line forming with resistance at $62,500 on the hourly chart of the BTC/USD pair. It is near the 61.8% Fibonacci retracement level of the descending wave from the $64,460 swing high to $58,448 low.
The next key resistance could be at $63,000. A clear move above the $63,000 resistance could start a steady rise and push the price higher. In this case, the price could rise and test the $63,500 resistance. Any further gains could send BTC towards the $65,000 resistance in the near term.
Another decline in BTC?
If Bitcoin fails to rise above the $62,500 resistance zone, it could begin another decline. Immediate downside support is near the $60,500 level.
The first major support is $60,000. The next support is now forming near $59,500. Further losses could send the price towards the $58,500 support zone in the near term.
Technical indicators:
Hourly MACD – The MACD is now gaining pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major support levels – $60,500, followed by $60,000.
Main resistance levels – $62,500 and $63,000.