Bitcoin price recovered above the USD 62,000 resistance zone. BTC needs to break the USD 62,500 resistance zone to continue higher in the near term.
- Bitcoin started a recovery wave above the USD 61,500 and USD 62,000 levels.
- The price is trading below $63,000 and the 100 hourly Simple Moving Average.
- A major bearish trendline is forming with resistance at $62,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could struggle to rise above the $62,500 and $63,000 resistance levels.
Bitcoin price faces resistance
Bitcoin price extended losses below the USD 60,000 support zone. BTC even tested the $58,500 support zone where the bulls emerged. A low was formed at $58,448 and the price is now correcting losses. There was a decent increase above the $60,000 level.
The price climbed above the 50% Fib retracement level of the downwave from the $64,460 swing high to the $58,448 low. It even broke above the $62,000 pivot level. However, Bitcoin price is still trading below $63,000 and the 100 hourly Simple Moving Average.
The price seems to be facing a rejection zone near the USD 62,500 resistance as discussed yesterday. There is also a major bearish trendline forming with resistance at $62,500 on the hourly chart of the BTC/USD pair. It is close to the 61.8% Fib retracement level of the downward wave from the $64,460 swing high to the $58,448 low.
The next major resistance could be at USD 63,000. A clear move above the USD 63,000 resistance could trigger a steady rise and send the price higher. In the mentioned case, the price could rise and test the USD 63,500 resistance. Any further gains could send BTC towards the USD 65,000 resistance in the short term.
Another drop in BTC?
If Bitcoin fails to climb above the USD 62,500 resistance zone, it could trigger another decline. The immediate downside support is near the USD 60,500 level.
The first major support is $60,000. The next support is now near $59,500. Any further losses could send the price towards the $58,500 support zone in the near term.
Technical indicators:
Hourly MACD – The MACD is now gaining speed in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major support levels – USD 60,500, followed by USD 60,000.
Major resistance levels – $62,500 and $63,000.