Bitcoin Struggles to Maintain Momentum
Bitcoin has been struggling to maintain momentum above the $71,800 resistance zone. The price is currently trading above $69,000 and the 100 hourly Simple Moving Average, indicating a potential bullish trend. However, there is a key bullish trend line forming with support at $69,200 on the hourly chart of the BTC/USD pair (data feed from Kraken), suggesting that the price could start another increase unless there is a significant move below $68,800.
Bitcoin Price Corrects Gains
After gaining pace and reaching above the $70,000 level, Bitcoin spiked above $71,200 before encountering resistance near $72,000. A new weekly high was established at $71,896, prompting a downside correction in the price. The decline took the price below $71,000 and the 23.6% Fib retracement level of the upward wave from the $66,047 swing low to the $71,896 high.
- The bulls are active above the $68,800 support zone.
- Bitcoin trades above $69,000 and the 100 hourly Simple Moving Average.
- A key bullish trend line is forming with support at $69,200 on the hourly chart of the BTC/USD pair.
Despite the correction, the price is now facing resistance near the $70,500 level. The first significant resistance lies at $71,200, with a key resistance point at $71,850. A clear break above the $71,850 resistance level could signal further upward movement, potentially testing the $72,500 resistance.
If the bulls continue to push the price higher, there is a possibility of a move towards the $73,200 resistance zone, with potential gains targeting the $74,500 resistance level.
Are Dips Supported in BTC?
If Bitcoin fails to breach the $71,200 resistance zone, a continuation of the downside movement could be expected. Immediate support on the downside is seen near the $69,200 level and the established trend line. The key support levels are at $69,000 and $68,800, with the potential for a move towards the $67,300 support zone in the short term.
- Hourly MACD indicates a loss of momentum in the bullish zone.
- Hourly RSI for BTC/USD is currently above the 50 level.
The major support levels to watch are $69,200, followed by $68,800, while major resistance levels include $70,500, $71,200, and $71,800.
Hot Take: Bitcoin Faces Resistance but Bulls Remain Active
As Bitcoin struggles to maintain momentum above key resistance levels, the bulls continue to show strength, supported by key levels and technical indicators. The upcoming trading sessions will be crucial in determining whether the digital asset can break through resistance and continue its upward trend or faces further correction in the near term.
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