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TA: Bitcoin Price Remains Supported, $30.8K Holds The Key

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Cryptocoins News / NewsBTC 162 Views

Bitcoin remained in a positive zone above $31,200 against the US Dollar. BTC could correct lower, but the bulls might remain active near $30,800.

  • Bitcoin is showing positive signs above the $30,500 and $31,000 resistance levels.
  • The price is now trading above the $31,200 level and the 100 hourly simple moving average.
  • There is a key bullish trend line forming with support near $31,800 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could correct lower and test the $31,000 and $30,800 support levels.

Bitcoin Price Faces Key Resistance

Bitcoin price extended increase above the $31,000 zone. It even broke the $32,000 resistance on a couple of occasions, but the bears protected more gains above $32,200.

The recent swing high was formed near $32,400 before the price started a downside correction. There was a move below the $32,000 level. The price corrected and tested the 23.6% Fib retracement level of the upward move from the $29,085 swing low to $32,400 high.

It is now testing the $31,800 zone. There is also a key bullish trend line forming with support near $31,800 on the hourly chart of the BTC/USD pair. Bitcoin is also well above the $31,200 level and the 100 hourly simple moving average.

Bitcoin Price

Source: BTCUSD on TradingView.com

An immediate resistance on the upside is near the $32,000 level. The next major resistance is near the $32,200 and $32,400 levels. A clear move above the $32,400 resistance level could start another increase. In the stated case, the price could rise towards the $32,500 resistance. The next major resistance sits near the $33,400 level.

Dips Supported in BTC?

If bitcoin fails to clear the $32,400 resistance zone, it could start a downside correction. An immediate support on the downside is near the $31,800 level and the trend line. A downside break below the trend line could send the price towards the $30,800 support.

The 50% Fib retracement level of the upward move from the $29,085 swing low to $32,400 high is also near the $30,800 level. Any more gains might open the doors for a move towards the $30,000 support.

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 moving lower towards the 50 level.

Major Support Levels – $31,800, followed by $30,800.

Major Resistance Levels – $32,000, $32,200 and $32,400.

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