Bitcoin Price Restarts Increase After Fed Rate Hike But Resistance Intact


Bitcoin started a fresh increase above the $22,000 resistance area against the US Dollar. BTC must clear $23,000 and $23,700 to continue rising.

  • Bitcoin started a new rally after the Federal Reserve raised interest rates by 75 basis points.
  • The price is now trading above the $22,500 level and the 100 hourly simple moving average.
  • There was a break above the major downtrend line with resistance near $21,800 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair must cross the $23,000 barrier to continue rising in the near term.

Bitcoin price starts a new increase

Bitcoin price remains above $21,000 support zone. It formed a base above the $21,000 level and started a new increase. The recent Fed rate hike led to a sharp upward move above the $22,000 resistance level.

The price was able to clear the 50% Fibonacci retracement level of the major decline from $23744 high to $20,750. Besides, there was a break above the major downtrend line with resistance near $21,800 on the hourly chart of the BTC/USD pair.

Bitcoin price is now trading above $22,500 and Simple moving average per 100 hours. The price appears to be facing a strong resistance near the $23,000 area.

Bitcoin price

Source: BTCUSD on TradingView.com

The 76.4% Fibonacci retracement level of the major decline from the $23744 high to $20,750 is also a resistance level. The next major resistance is near the $23.750 area. A close above the $23,750 resistance area could set the pace for a strong increase. In the mentioned case, the price may rise towards the $24,500 level. The next major resistance is near the $25,000 level.

More losses in bitcoin?

If Bitcoin fails to break above the $23,000 resistance area, it may initiate a downward correction. There is immediate support on the downside near the $22,500 level.

The next major support is now near the $22,150 and $22,000 levels. A close below the $22,000 support area may restart the downtrend. In the mentioned case, the price may reconsider the $21,000 support in the near term.

Technical indicators:

Hourly MACD The MACD is now losing momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for Bitcoin/USD is now in the overbought territory.

Key support levels – $22,500, followed by $22,000.

Key resistance levels – $23,000, $23,550 and $23,750.



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