A Pause Before the Next Surge?
Bitcoin price has begun a short-term downward correction after hitting a new all-time high. BTC is consolidating above $101,000 and may be targeting fresh gains.
- Bitcoin started a downward correction from the $109,000 area.
- The price is trading below $104,500 and the 100 hourly simple moving average.
- There is a bearish trend line connecting with resistance at $104,000 on the hourly chart of the BTC/USD pair (data via Kraken).
- If the pair holds above the $100,000 support area, another upward move could start.
Bitcoin Price Hits New ATH
Bitcoin price starts Decent move up Above the $102,000 area. BTC was able to rise above $104,500 and $103,800.
The bulls even pushed the price above $107,000. The price hit an all-time high of $109,112 and recently witnessed a downward correction. There was a break below the $104,500 and $103,500 levels. The price even fell below $102,000.
The lowest price was $100,114, and prices are currently rising. The move from the recent swing high of $109,112 to low of $100,114 moved towards the 23.6% Fib retracement level.
Bitcoin price is currently below $104,500, 100 hour simple moving average. On the upside, immediate resistance lies near $104,000. Furthermore, a connecting bearish trend line has formed with resistance at $104,000 on the hourly chart of the BTC/USD pair.
The first key resistance level is near the $104,500 level, which is the 50% Fibonacci retracement level of the recent swing high of $109,112 to low of $100,114.
A clear break above the $104,500 resistance could lead to a move higher. The next key resistance level is likely to be $106,500. A close above the $106,500 resistance could lead to further gains. In the above scenario, the price may rise and test the $108,000 resistance. In case of further gains, the price may rise towards the $109,500 level.
More Bitcoin losses?
If Bitcoin fails to break above the $104,000 resistance zone, it may start a downside correction. Immediate support on the downside lies near the $100,500 level. The first major support level is near $100,000.
The next support is near the $98,800 area. Any further losses could push the price towards the $96,500 support in the short term.
Technical indicators:
Hourly MACD – The MACD is now losing speed in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently below the 50 level.
The main support level – $100,500, followed by $100,000.
Major resistance levels – $104,000 and $105,500.
