Bitcoin price corrected lower and tested the $42,800 support zone. BTC is now showing positive signs and might attempt a fresh surge above $44,000.
Bitcoin is holding gains above the $42,500 pivot level.
The price is trading above $42,800 and the 100 hourly Simple moving average.
There is a key bullish trend line forming with support near $42,900 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair is likely setting up for a fresh increase above the $44,000 level.
Bitcoin Price Eyes Fresh Increase
Bitcoin price started a downside correction below the $44,000 level. BTC declined below the $43,500 level, but the bulls remained active. The price found bids near the 50% Fib retracement level of the upward move from the $41,427 swing low to the $44,465 high.
Bitcoin is still trading above $42,800 and the 100 hourly Simple moving average. There is also a key bullish trend line forming with support near $42,900 on the hourly chart of the BTC/USD pair.
The price is now rising and showing positive signs above the $43,000 level. On the upside, immediate resistance is near the $44,200 level. The first major resistance is forming near $44,450, above which the price might gain bullish momentum and rise toward $45,000.
Source: BTCUSD on TradingView.com
A close above the $45,000 resistance might start a strong upward move. The next key resistance could be near $46,000, above which BTC could rise toward the $47,200 level.
Are Dips Limited In BTC?
If Bitcoin fails to rise above the $44,450 resistance zone, it could start another decline. Immediate support on the downside is near the $42,900 level and the trend line.
The next major support is near $42,580 or the 61.8% Fib retracement level of the upward move from the $41,427 swing low to the $44,465 high, below which the price might test the $42,150 zone. If there is a move below $42,150, there is a risk of more downsides. In the stated case, the price could drop toward the $41,500 support 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 – $42,900, followed by $42,150.
Major Resistance Levels – $44,250, $44,450, and $45,000.
