Bitcoin price is rising and is trading above $23,000. BTC is consolidating its gains and may increase again to $23,500.
- Bitcoin traded to a new yearly high of $23,428 before starting a downward correction.
- The price is trading above $22,000 and the hourly moving average is 100.
- There is a major bullish trend line formed with support near $22,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start a new rally if it stays above the $22,000 support zone.
Bitcoin Price Eyes Additional Gains
Bitcoin price started a major increase above the $21,500 resistance zone. BTC gained speed and even broke the $22,000 resistance zone, similar to ethereum at $1,550.
The price rose above the $22,500 level and settled above the 100 hourly simple moving average. It traded to a new yearly high at $23,428 and recently started a small downward correction. There was a small move below the $23,000 level.
Bitcoin price declined below the 23.6% Fib retracement level of the upward move from the $20,395 swing low to the $24,248 high. However, the price is still trading above $22,000 and the hourly moving average is 100.
There is also a major bullish trend line formed with support near $22,000 on the hourly chart of the BTC/USD pair. Immediate resistance is near the $23,000 level. The next major resistance is near the $23,200 zone, above which the price can gain bullish momentum.
Source: BTCUSD on TradingView.com
In that case, the price may rise to the level of $23,500. Another gain could send the btc price to the $24,500 level.
Downside Correction in BTC?
If the price of bitcoin fails to clear the $23,000 resistance, it could continue to fall. Immediate support at the bottom near the $22,400 zone.
The next major support is near the $22,000 zone and the trend line. Close to the 50% Fib retracement level of the upward move from the $20,395 swing to the $24,248 high, below which the price can gain bearish momentum and test $21,200. Any further losses could send the price towards $20,500 in the near term.
Technical indicators:
Hourly MACD – MACD is currently losing in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently above the 50 level.
Main Support Level – $22,400, followed by $22,000.
Key Resistance Levels – $23,000, $23,200 and $23,500.