Bitcoin price started an upward correction from the $26,550 zone. BTC is rising and facing strong resistance near the USD 27,300 and USD 27,500 levels.
- Bitcoin managed to recover above the $27,000 resistance zone.
- The price is trading above $27,000 and the 100 hourly Simple Moving Average.
- There was a break above a major bearish trendline with resistance around $27,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair is showing signs of recovery but could remain stuck near $27,300 and $27,500.
Bitcoin Price Attempts New Recovery
Bitcoin price found support near the USD 26,550 level. BTC bears tried to clear $26,550 but failed. As a result, the price started an upward correction above the USD 26,800 resistance.
There was a move above the 23.6% Fib retracement level of the downward move from the $28,285 swing high to the $26,550 low. Additionally, there was a break above a major bearish trendline with resistance around $27,000 on the hourly chart of the BTC/USD pair.
Bitcoin is now trading above $27,000 and the 100 hourly Simple Moving Average. It looks like the price is facing strong resistance near the $27,300 level.
The next major resistance could be near $27,500, or the 61.8% Fib retracement level of the downward move from the $28,285 swing high to the $26,550 low. A clear move above the USD 27,500 and USD 27,650 resistance levels could set the pace for a bigger increase.
Source: BTCUSD on TradingView.com
The next major resistance could be at USD 28,000. A close above the USD 28,000 resistance could trigger a steady rise towards the USD 28,500 level. Any further gains could send BTC towards the $29,200 level.
Another drop in BTC?
If Bitcoin fails to recover above the USD 27,500 resistance, another decline could occur. The immediate downside support is near the $27,000 level and the trendline zone.
The next major support is near the $26,900 level and the 100 hourly Simple Moving Average. A downside break and a close below the USD 26,900 support could push the price further. The next support is at $26,550.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major support levels – USD 27,000, followed by USD 26,900.
Major resistance levels – $27,300, $27,500 and $27,650.