Bitcoin price started a decent recovery wave above $88,000. BTC is now consolidating below $89,000 and could be aiming for another surge.
- Bitcoin started a recovery wave above the $87,500 zone.
- The price is trading above USD 87,500 and the 100 hourly Simple Moving Average.
- A bullish trendline is forming with support at $87,900 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could continue to rise if it breaks above the $89,100 zone.
Bitcoin price sees more gains
Bitcoin price made another recovery wave above USD 87,500 and USD 88,000. BTC even managed to overcome the USD 88,800 resistance and tested the USD 90,500 hurdle.
It reached a high at $90,552 and the price is now consolidating gains. There was a small decline below $89,000 and $88,500. The price fell below the 23.6% Fib retracement level of the upward move from the $84,420 swing low to the $90,552 high.
Bitcoin is now trading above $87,800 and the 100 hourly Simple Moving Average. A bullish trendline is also forming with support at $87,900 on the hourly chart of the BTC/USD pair.
If the price remains stable above the trendline, it can try to make more profits. Immediate resistance is near the $89,100 level. The first major resistance is around the $89,500 level. The next resistance could be $90,500. A close above the USD 90,500 resistance could send the price higher. In the mentioned case, the price could rise and test the USD 92,000 resistance. Any further gains could send the price towards the USD 92,500 level. The next threshold for the bulls could be $93,200 and $93,500.
Another drop in BTC?
If Bitcoin fails to rise above the USD 89,500 resistance zone, it could trigger another decline. The immediate support is near the $88,000 level and the trendline. The first major support is near the $87,500 level.
The next support now lies near the $86,750 zone and the 61.8% Fib retracement level of the upward move from the $84,420 swing low to the $90,552 high. Any further losses could send the price towards the USD 85,450 support in the near term. The key support is at $84,500, below which BTC could potentially accelerate lower in the near term.
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 below the 50 level.
Major support levels – USD 88,000, followed by USD 87,500.
Major resistance levels – $89,500 and $90,500.