Bitcoin Consolidates Below $28,500 Resistance
Bitcoin is currently in a consolidation phase below the $28,500 level. However, it is trading above $27,800 and the 100 hourly Simple moving average. On the hourly chart of the BTC/USD pair, there is a short-term contracting triangle forming with resistance near $28,500.
Retreat from Resistance Zone
After facing resistance near the $30,000 zone, Bitcoin price retreated and trimmed its gains. It dropped below the $29,200 and $28,800 levels, entering a short-term negative zone. Nevertheless, bulls were active near the $28,000 zone and managed to form a low around $28,100.
Consolidation Phase and Potential Increase
Following the low formation, Bitcoin entered a consolidation phase. The price moved above the $28,250 level and tested the 23.6% Fib retracement level of the downward move from the $30,000 swing high to the $28,100 low. Currently, Bitcoin price is trading above $28,000 and the 100 hourly Simple moving average.
The immediate resistance lies near the $28,550 level with a short-term contracting triangle forming around $28,500. If there is a clear move above the $28,550 resistance level, it could initiate a fresh increase. The next key resistance levels are at $29,000 and potentially at $29,500.
Potential Downside if Resistance Holds
If Bitcoin fails to rise above the $28,550 resistance zone, there is a possibility of further downside movement. Immediate support on the downside can be found near the $28,350 level and within the triangle region. The next major support is near $28,000, and a break below it could push the price even lower towards $27,600 and the 100 hourly Simple moving average.
Technical Indicators and Support/Resistance Levels
Looking at the technical indicators, the MACD is currently losing pace in the bullish zone. The RSI for BTC/USD is above the 50 level. Major support levels are at $28,350 and $28,000, while major resistance levels are at $28,550, $29,000, and $29,500.
Source: BTCUSD on TradingView.com
Hot Take: Bitcoin’s Consolidation Continues as Bulls Aim for Fresh Increase
Bitcoin’s price has entered a consolidation phase below the $28,500 resistance level. While it remains above $27,800 and the 100 hourly Simple moving average, there is potential for a fresh increase if it breaks above the $28,550 resistance. However, if it fails to do so, there is a possibility of further downside movement with support levels at $28,350 and $28,000. The next key resistance levels are at $29,000 and potentially at $29,500. Technical indicators suggest a mixed outlook for Bitcoin’s price movement. Overall, traders are closely watching for a breakout or breakdown in the near future.
By
By
By
By
