Bitcoin Price Analysis: Key Levels to Watch
Bitcoin price has recently witnessed a significant upward trend, breaking past the $64,750 resistance level. Currently, BTC is consolidating its gains near the $65,000 mark, suggesting that it might remain supported in the short term.
- Bitcoin is consolidating gains near the $65,000 zone.
- The price is trading above $64,200 and the 100 hourly Simple Moving Average (SMA).
- There is a short-term contracting triangle forming with resistance at $65,250 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start another increase if there is a clear move above the $65,250 resistance zone.
Bitcoin Price Regains Strength
Bitcoin price found support near the $62,650 level, forming a solid base before initiating a fresh increase. BTC managed to climb above the $63,500 resistance zone, gaining momentum to break through the $64,200 resistance as well. This bullish movement allowed the price to surge past the $65,000 threshold, reaching a high of $65,764.
After this significant rise, Bitcoin is now consolidating its gains. There was a minor pullback below the $65,200 level, dipping below the 23.6% Fib retracement level of the upward move from the $62,673 swing low to the $65,764 high. Despite this, Bitcoin remains above $64,500 and the 100 hourly SMA.
In the event of a fresh increase, Bitcoin may face resistance near the $65,250 level. Additionally, a short-term contracting triangle is forming with resistance at $65,250 on the hourly chart of the BTC/USD pair.
Potential for Further Upside
The first key resistance level is situated around $65,500. A clear move above this level could propel the price higher. The next significant resistance is at $66,200. If Bitcoin manages to close above $66,200, it could spark additional upward momentum, potentially leading to a test of the $67,500 resistance level.
Potential for Another Decline in BTC?
In contrast, if Bitcoin fails to break above the $65,250 resistance zone, it might experience another decline. The immediate support on the downside is near the $64,850 level, which could provide some short-term relief.
Further down, the first major support is located near the $63,850 level, coinciding with the 61.8% Fib retracement level of the upward move from the $62,673 swing low to the $65,764 high. Should the price continue to fall, the next support zone is around $63,500. A more pronounced decline might push the price towards the $62,650 support in the near term.
Technical Indicators
Hourly MACD: The MACD is currently losing pace in the bullish zone.
Hourly RSI (Relative Strength Index): The RSI for BTC/USD is now above the 50 level, indicating a neutral to positive momentum.
Key Levels to Watch
Major Support Levels: $64,850, followed by $63,850.
Major Resistance Levels: $65,250, and $65,500.
