A Make-or-Break Moment for Bulls
Bitcoin price is trying to break out of the recovery wave above the $98,000 area. BTC is rising and is currently struggling to stabilize above the $100,000 area.
- Bitcoin started a recovery wave above the $98,000 area.
- The price is trading above $98,500 and the 100 hourly simple moving average.
- There is a bullish trend line forming with support at $98,000 on the hourly chart of the BTC/USD pair (data via Kraken).
- If the pair holds above the $95,000 support area, another upward move could start.
Bitcoin price tests $100,000 mark
Bitcoin Price Starts Short-term recovery wave Above the $95,000 area. BTC was able to climb above the $96,500 and $97,200 levels.
The bulls were able to push the price above the key $98,000 level. The price even reaches $98,800. A high was formed at $100,731, and the price is now consolidating gains well above the 23.6% Fib retracement level of the upward move from the $89,114 swing low to the $100,731 high.
There is also a connecting bullish trend line forming with support at $98,000 on the hourly chart of the BTC/USD pair. Bitcoin price is currently trading above $98,800, 100 hour simple moving average.
On the upside, immediate resistance lies near $100,000. The first key resistance lies near $100,500. A clear break above the $100,500 resistance could lead to a move higher. The next key resistance level is likely to be $104,000.
A close above the $104,000 resistance could lead to further gains. In the above scenario, the price may rise and test the $106,000 resistance. In case of further gains, the price may rise towards the $108,500 level.
Bitcoin’s downside correction?
If Bitcoin fails to break above the $100,000 resistance level, it could start a fresh decline. Immediate support on the downside lies near the $98,000 level and trendline. The first major support is near $97,350.
Next support is near the $95,000 area, which is the 50% Fib retracement level of the upward move from the $89,114 swing low to $100,731 high. Any further losses could push the price towards the $93,200 support in the short term.
Technical indicators:
Hourly MACD – The MACD is currently accelerating in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently above the 50 level.
The main support is at $98,000, followed by $97,350.
Major resistance levels – $100,000 and $100,500.
