Bitcoin price started a recovery wave above the $77,000 zone. BTC is consolidating and could target more gains if it breaks the USD 78,000 resistance zone.
- Bitcoin managed to form a base above $76,200 and started a recovery wave.
- The price is trading above USD 77,000 and the 100 hourly moving average.
- A contracting triangle is forming with resistance at $77,900 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could gain bullish momentum if it settles above the $78,000 zone.
Bitcoin Price Eyes New Gains
Bitcoin price remained supported above the $76,500 zone. BTC formed a base and settled above $76,800 to start a recovery wave. There was a move above the USD 77,000 and USD 77,200 levels.
The bulls were able to push the price above the 23.6% Fib retracement level of the downward move from the $82,016 swing high to the $76,020 low. However, the bears are active around $78,000. A contracting triangle is also forming with resistance at $77,900 on the hourly chart of the BTC/USD pair.
Bitcoin is now trading above $77,200 and the 100 hourly moving average. If the price remains stable above USD 77,200, a new increase can be attempted. The immediate resistance is near the $78,000 level.
The first major resistance is around the $78,500 level. A close above the USD 78,500 resistance could send the price rising further. In the said case, the price could rise and test the $79,000 resistance or the 50% Fib retracement level of the downward move from the $82,016 swing high to the $76,020 low. Any further gains could send the price towards the USD 81,200 level. The next barrier for the bulls could be $82,000.
Another drop in BTC?
If Bitcoin fails to rise above the $78,000 resistance zone, it could trigger another decline. Immediate support is near the $77,200 level.
The first major support is near the $76,800 level. The next support is now near the $76,200 zone. Any further losses could send the price towards the $75,000 support in the short term. The key support now lies at $74,200, below which BTC could struggle to recover 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 76,800, followed by USD 76,200.
Major resistance levels – $78,000 and $79,000.