Bitcoin price gained pace and traded above $23,000. BTC is consolidating gains and could start another rise towards $23,500.
- Bitcoin traded to a new yearly high of $23,428 before beginning a downward correction.
- The price is trading above $22,000 and the 100 hourly simple moving average.
- A major uptrend line is forming with support near $22,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start a new rise if it sustains above the $22,000 support zone.
Bitcoin price points to additional gains
Bitcoin price started a major rally above the $21,500 resistance zone. BTC gained pace and even broke the $22,000 resistance zone, similar to ethereal at $1,550.
The price rallied above the $22,500 level and settled well above the 100 hourly simple moving average. It traded at a new yearly high of $23,428 and has recently started a bit of a downward correction. There was a minor move below the $23,000 level.
Bitcoin price fell below the 23.6% Fibonacci retracement level of the upward move from the $20,395 low to $24,248 high. However, the price is still trading above $22,000 and the 100 hour simple moving average.
There is also a major uptrend line forming with support near $22,000 on the hourly chart of the BTC/USD pair. An immediate resistance is near the $23,000 level. The next major resistance is near the $23,200 zone, above which the price could gain bullish momentum.
Font: BTCUSD on TradingView.com
In the indicated case, the price perhaps goes towards the $23,500 level. More gains could send the BTC price towards the $24,500 level.
Downward correction in BTC?
If the bitcoin price fails to break above the $23,000 resistance, it could continue lower. An immediate support on the downside is near the $22,400 zone.
The next big support is near the $22,000 area and the trend line. It is near the 50% Fib retracement level of the upward move from the $20,395 low to $24,248 high, below which price could gain bearish momentum and test $21,200. More losses could send the price to $20,500 in the near term.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Main support levels: $22,400, followed by $22,000.
Major Resistance Levels: $23,000, $23,200, and $23,500.
