Bitcoin started a fresh increase from the $ 10,140 swing low against the US Dollar. BTC broke the $ 10,550 resistance and it seems like the bulls are aiming a clear break above $ 11,000.
- Bitcoin stayed above the $ 10,000 support and started a decent recovery wave.
- The price is currently trading well above the $ 10,550 resistance and the 100 simple moving average (4-hours).
- There was a break above a key bearish trend line with resistance near $ 10,600 on the 4-hours chart of the BTC/USD pair (data feed from Kraken).
- The pair is likely to continue higher if there is a clear break above the $ 10,800 resistance.
Bitcoin Turns Green
This past week, bitcoin found support above the $ 10,100 level against the US Dollar. BTC remained well bid above the $ 10,200 level and recently started a steady recovery wave.
There was a break above the $ 10,350 and $ 10,400 levels. The main technical breakout was near the $ 10,550 resistance zone and the 100 simple moving average (4-hours). Moreover, there was a break above a key bearish trend line with resistance near $ 10,600 on the 4-hours chart of the BTC/USD pair.
Bitcoin climbed above the 50% Fib retracement level of the downward move from the $ 11,192 high to $ 10,140 swing low. It has opened the doors for more gains above the $ 10,700 level.
Bitcoin price breaks $ 10,700. Source: TradingView.com
The price is now struggling to clear a key resistance zone near $ 10,800. It is close to the 61.8% Fib retracement level of the downward move from the $ 11,192 high to $ 10,140 swing low. A successful break and close above the $ 10,800 resistance could open the doors for more gains above the $ 11,000 resistance.
The next major resistance is near the $ 11,200 level, above which the bulls are likely to aim a larger increase towards the $ 11,500 level in the near term.
Dips Supported in BTC?
If bitcoin struggles to climb above the $ 10,800 resistance or the $ 11,000 barrier, it might correct lower. An initial support is near the $ 10,650 level.
The main support on the downside is near the $ 10,550 level and the 100 simple moving average (4-hours). A close below the $ 10,550 and $ 10,500 support levels may perhaps clear the path for a sustained decline.
4 hours MACD – The MACD for BTC/USD is showing positive signs in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI for BTC/USD is now well above the 50 level.
Major Support Level – $ 10,550
Major Resistance Level – $ 10,800