Bitcoin’s price is currently consolidating below the significant $100,000 resistance level. BTC bulls are likely preparing for a move to surpass this milestone, potentially driving the price higher in the near future.
Key Highlights
- Bitcoin initiated a fresh surge surpassing the $96,500 mark.
- The cryptocurrency is currently trading below $98,000, along with the 100-hourly Simple Moving Average.
- An emerging bearish trend line is evident, showing resistance at $98,000 on the hourly BTC/USD pair chart, sourced from Kraken.
- The pair is poised for further gains if it successfully overcomes the $98,000 resistance zone.
Bitcoin Eyes Further Upsides
The Bitcoin price has been well-supported above the critical $92,500 threshold. After forming a stable base, BTC embarked on a renewed ascent, breaking above the $96,000 mark. The price successfully traversed the $97,500 level and reached a new peak at $99,650, followed by a brief pullback.
Subsequently, the price witnessed a dip below $98,000. A low of $95,973 was established, but the price is now experiencing an upward trajectory. It has reclaimed the $96,800 resistance level, clearing the 50% Fibonacci retracement level of the decline from the $99,650 swing high to the $95,973 low.
Currently, Bitcoin is trading below $98,000 and the 100-hourly Simple Moving Average. On the upside, the $98,000 level might present resistance, where a connecting bearish trend line is forming on the hourly BTC/USD chart. This trend line aligns closely with the 61.8% Fibonacci retracement level of the drop from the $99,650 swing high to the $95,973 low.
Potential Resistance Levels
The first significant resistance stands near the $99,000 mark. A decisive move beyond this level could propel the price higher. Subsequently, the next major resistance is anticipated at $100,000.
Should Bitcoin manage to close above the $100,000 resistance, it could pave the way for further gains. In such a scenario, the price might rise to test the $102,500 resistance level. Additional gains could eventually push the price toward the $105,000 mark.
Possible Downside Correction in BTC
In the event that Bitcoin fails to break through the $98,000 resistance zone, a downside correction might ensue. Immediate support on the downside is located near the $96,800 level.
The initial major support stands around the $95,750 level, while subsequent support is identified near the $95,000 region. Should these levels fail to hold, further losses might drive the price toward the $92,000 support in the short term.
Technical Indicators
- Hourly MACD: The MACD is currently gaining momentum in the bullish zone.
- Hourly RSI (Relative Strength Index): The RSI for BTC/USD is now above the 50 level, indicating bullish momentum.
- Major Support Levels: $96,800 followed by $95,000.
- Major Resistance Levels: $98,000 and $100,000.
As Bitcoin continues to consolidate and navigate through critical resistance and support levels, traders and investors are keenly observing potential breakout points. The cryptocurrency market remains dynamic, and strategic insights could offer guidance in understanding possible future trends.
