Bitcoin remained well supported near the $42,700 support zone against the US Dollar. BTC is surging and could accelerate above $44,850 in the short term.
Bitcoin is holding gains but still well below the $45,000 resistance zone. The price is trading above $43,000 and the 100 hourly simple moving average. There is a key ascending channel forming with support near $44,000 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair could drop sharply if there is a clear move below the 100 hourly SMA.
Bitcoin price points to a new rise
Bitcoin price started a downward correction below the $44,000 level. BTC even dipped below the $43,000 level, but the bulls appeared near the $42,700 zone.
The price was also flat above $42,500 and the 100 hourly simple moving average. A low was formed near $42,709 and the price started a new rise. There was a clear move above the $43,200 and $43,500 resistance levels.
Furthermore, the price rose above the 50% Fibonacci retracement level of the downward move from the $45,500 high to $42,709 low.
There is also a key ascending channel forming with support near $44,000 on the hourly chart of the BTC/USD pair. Bitcoin price is now trading above $42,000 and the 100 hourly simple moving average. On the upside, an immediate resistance is near the $44,500 level.
Source: BTCUSD on TradingView.com
The next major resistance is near the $44,850 zone or the 76.4% Fibonacci retracement level of the downward move from the $45,500 high to $42,709 low, above which the price will perhaps break above $ 45,000. In the indicated case, the price could continue to rise towards the $46,500 level.
Downside breakout in BTC?
If Bitcoin fails to start a fresh rise above $44,850, it could continue to slide lower. An immediate support on the downside is near the $44,000 zone.
The next major support is seen near the $43,500 level and the 100 hourly simple moving average. If there is a downside break below the $43,500 support, the price could start a major drop towards the $41,200 level.
Hourly MACD – The MACD is slowly moving towards the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now close to the 50 level.
Major support levels: $44,000, followed by $43,500.
Major resistance levels: $44,850, $45,000 and $45,500.
This post Bitcoin has uptrend support, why 100 SMA is the key
was published first on https://www.newsbtc.com/analysis/btc/bitcoin-holds-uptrend-support/