cryptocurrency market

TA: Why Bitcoin Rally Could Soon Fade If BTC Fails To Surpass $24K


Bitcoin price started a fresh upward move from the $22,000 support zone against the US Dollar. BTC is now trading nicely above the 100 hourly SMA, but it is facing hurdles near $24,000.

  • Bitcoin started a fresh increase above the $23,000 and $23,500 resistance levels.
  • The price is currently trading well above $23,200 and the 100 hourly simple moving average.
  • There was a break above a key bearish trend line with resistance near $23,200 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could dip again unless it clears the $24,000 and $24,200 resistance levels.

Bitcoin Price is Showing Bullish Signs

After a sharp decline, bitcoin price found support near the $22,350 level. A support base was formed before BTC started a fresh increase above the $22,800 and $23,000 levels.

The price gained bullish momentum above the $23,200 resistance level and settled above the 100 hourly simple moving average. There was also a break above a key bearish trend line with resistance near $23,200 on the hourly chart of the BTC/USD pair.

Bitcoin even climbed above the $23,500 resistance level and traded close to the $24,000 resistance. A high is formed near $24,044 and the price is clearly facing hurdles near $24,000.

Bitcoin Price

Source: BTCUSD on TradingView.com

It is now trading near the 23.6% Fib retracement level of the recent wave from the $22,359 swing low to $24,044 high. The next major support on the downside is near the $23,500 level or the 100 hourly simple moving average.

There is also a connecting bullish trend line forming with support near $23,200 level. It coincides with the 50% Fib retracement level of the recent wave from the $22,359 swing low to $24,044 high. Any more downsides below the trend line support could lead the price towards the $22,350 support zone in the coming sessions.

Read More   Bitcoin Rally Isn’t Just Institutional Driven, Emerging Markets Are Voting For Revolution

Upsides Break in BTC?

If bitcoin remains stable above the $23,500 and $23,320 levels, there are high chances of an upside break. An initial resistance on the upside is near the $24,000 level.

The next major resistance is near the $24,250 level. A close above the $24,250 level could start another pump and the price could easily rise towards the $25k in the near term.

Technical indicators:

Hourly MACD – The MACD is slowly losing momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently well above the 50 level.

Major Support Levels – $23,500, followed by $23,200.

Major Resistance Levels – $24,000, $24,100 and $24,250.



READ SOURCE

Leave a Reply

This website uses cookies. By continuing to use this site, you accept our use of cookies.