The price of Bitcoin rose more than 8% and surged above $70,000. BTC is now consolidating gains and showing further upside in the near term.
- Bitcoin started a new rally above the $70,000 resistance zone.
- The price is trading above $79,000 and the 100-hour simple moving average.
- The hourly chart of the BTC/USD pair (data feed from Kraken) has a bullish trendline connecting with support at $70,500.
- Unless the bears break below $68,800, the pair could begin another rally.
Bitcoin price rises 8%
Bitcoin price has formed a base above the $66,500 level. BTC began a new rally above the $68,000 resistance zone after Ethereum rose above $3,200.
There was a strong move above the $70,000 resistance zone. The price rose more than 8% and even tested the $72,000 resistance area. A new weekly high was set at $71,896 and the price is currently on an upward trend.
The price is well above the 23.6% Fib retracement level, rising from the $66,047 swing low to the $71,896 high. Bitcoin is also trading above $79,000 and the 100-hour simple moving average. Moreover, on the hourly chart of the BTC/USD pair, there is a connecting bullish trendline with support at $70,500.
The price is currently finding resistance near the $71,850 level. The first major resistance could be at $72,000. The next major resistance could be $72,500. A clear break above the $72,500 resistance could push the price higher. If indicated, the price could move higher to test the $73,200 resistance.
If the bulls remain active, the price may rise towards the $74,400 resistance zone. More gains could push BTC towards the $75,000 barrier.
Are dips limited in BTC?
If Bitcoin fails to rise above the $72,000 resistance zone, a downward correction could begin. Immediate support for the downside is near the $70,500 level and trend line.
The first major grant is $70,000. Key support is currently forming near $68,850, or the 50% Fib retracement level of the rise from the $66,047 swing low to the $71,896 high. More losses may lead the price towards the $67,450 support area 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 70 level.
Key support levels – $70,500, then $70,000.
Key resistance levels – $71,850, $72,000 and $72,500.