Bitcoin price is attempting a fresh increase above the $42,200 level. BTC could surge once it clears the $43,350 resistance zone in the near term.
Bitcoin started a fresh increase above the $42,000 support zone.
The price is trading above $42,200 and the 100 hourly Simple moving average.
There is a key bullish trend line forming with support near $42,400 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could continue to move up if there is a clear move above the $43,350 resistance.
Bitcoin Price Aims Higher
Bitcoin price started a decent increase above the $41,500 level. BTC was able to clear the $42,000 resistance zone to enter a positive zone. The bulls were able to push the price above the $43,000 zone.
However, the price seems to be struggling near the $43,350 zone. A high was formed near $43,421 and the price is now consolidating gains. There was a sharp downside correction below the $42,500 level. The price even spiked below the 50% Fib retracement level of the upward move from the $40,606 swing low to the $43,421 high.
However, the bulls were active near the $41,500 zone. They protected the 61.8% Fib retracement level of the upward move from the $40,606 swing low to the $43,421 high.
Bitcoin is now trading above $42,200 and the 100 hourly Simple moving average. Besides, there is a key bullish trend line forming with support near $42,400 on the hourly chart of the BTC/USD pair. On the upside, immediate resistance is near the $43,300 level.
Source: BTCUSD on TradingView.com
The first major resistance is forming near $43,350. A close above the $43,350 resistance might start a steady increase. The next key resistance could be near $44,200, above which BTC could rise toward the $45,000 level. A clear move above the $45,000 level could set the pace for a test of $46,500.
Another Drop In BTC?
If Bitcoin fails to rise above the $43,350 resistance zone, it could start another decline. Immediate support on the downside is near the $42,400 level and the trend line.
The next major support is near $42,000 and the 100 hourly Simple moving average, below which the price might test the $41,500 zone. If there is a move below $41,500, there is a risk of more losses. In the stated case, the price could drop toward the $40,600 support 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.
Major Support Levels – $42,400, followed by $42,000.
Major Resistance Levels – $43,350, $44,200, and $45,000.
