Bitcoin price is slowly rising above the USD 56,500 level. BTC could gain bullish momentum if it breaks the USD 58,500 resistance zone.
- Bitcoin started a recovery wave above the USD 56,500 and USD 57,000 levels.
- The price is trading above USD 57,000 and the 100 hourly Simple Moving Average.
- A connecting bullish trendline is forming with support at $57,200 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start a new rise above the USD 58,500 resistance zone.
Bitcoin price aims higher
Bitcoin price started a recovery wave above the USD 56,500 level. BTC even climbed above the USD 57,500 level. However, the bears are active again near the USD 58,500 resistance zone.
A high was reached at $58,200 and the price is now consolidating within a range. It also tested the 23.6% Fib retracement level of the upward move from the $54,955 swing low to the $58,200 high. The bulls seem to be active above the USD 57,000 level.
Bitcoin price is now trading above $57,200 and the 100 hourly Simple Moving Average. A connecting bullish trendline is also forming with support at $57,200 on the hourly chart of the BTC/USD pair. The immediate resistance on the upside is near the $58,200 level.
The first major resistance is near the $58,500 level. A clear move above the USD 58,500 resistance could trigger a decent upside in the coming sessions. The next major resistance could be at USD 59,200. A close above the USD 59,200 resistance could trigger a steady rise and send the price higher. In the mentioned case, the price could rise and test the USD 60,000 resistance. Any more gains could be difficult.
Another drop in BTC?
If Bitcoin fails to climb above the USD 58,500 resistance zone, it could trigger another decline. The immediate downside support is near the $57,400 level.
The first major support is $57,200 and the trendline. The next support now lies near $56,200 and the 61.8% Fib retracement level of the upward move from the $54,955 swing low to the $58,200 high. Any further losses could send the price towards the $55,000 support zone in the near term.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major support levels – USD 57,200, followed by USD 56,200.
Major resistance levels – $58,200 and $58,500.
