Bitcoin price adjusted lower and tested the $42,800 support area. BTC is currently showing positive signs and may attempt a new surge above $44,000.
- Bitcoin is holding gains above the $42,500 pivot level.
- The price is trading above $42,800 and the 100-hour simple moving average.
- The hourly chart of the BTC/USD pair (data feed from Kraken) shows a major bullish trend line forming with support near $42,900.
- The pair is likely ready for a new increase above the $44,000 level.
Bitcoin price eye fresh rise
Bitcoin price began a downward correction below the $44,000 level. BTC fell below the $43,500 level, but bulls remained active. The price found bids near the 50% Fib retracement level of the upward move from $41,427 to $44,465.
Bitcoin is still trading above $42,800 and the 100-hour simple moving average. The hourly chart of the BTC/USD pair also has a major bullish trend line forming with support near $42,900.
The price is currently rising and showing positive signs above the $43,000 level. On the other hand, immediate resistance is close to the $44,200 level. The first major resistance is forming around $44,450, above which the price could gain bullish momentum and push towards $45,000.
Source: TradingView.com BTCUSD
A break above the $45,000 resistance could signal a strong upside. The next major resistance could be near $46,000, above which BTC could rise towards the $47,200 level.
Are dips limited in BTC?
If Bitcoin fails to rise above the $44,450 resistance zone, another decline could begin. Immediate support for the downside is near the $42,900 level and trendline.
The next major support is near $42,580 or the 61.8% Fib retracement level of the rise from the $41,427 swing low to the $44,465 high, below which the price may test the $42,150 area. There is further downside risk if the price falls below $42,150. If indicated, the price may fall towards the $41,500 support in the near term.
Technical indicators:
Hourly MACD – MACD is now gaining speed in bullish territory.
Hourly Relative Strength Index (RSI) – The RSI for BTC/USD is now above the 50 level.
Key support levels – $42,900, $42,150.
Key resistance levels – $44,250, $44,450 and $45,000.