Bitcoin maintains the major support of $29,500 against the US Dollar. BTC must clear the $31,500 resistance area to start a significant increase in the near term.
- Bitcoin is showing some positive signs above the $29,500 support area.
- The price is now trading below the $30,500 level and the 100 hourly simple moving average.
- There is a major contracting triangle forming with resistance near $31,250 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start a strong increase if there is a clear move above the $31,500 resistance.
Bitcoin price is still in the range
Bitcoin price tried a new increase above The $31,200 and $31,500 resistance levels. However, the bears were active near the $31,500 area. A rally was formed near $31,550 and the price corrected the gains.
There was a move below the $31,000 and $30,500 support levels. A bottom was formed near $29,848 and the price is now consolidating in a range. There was a recovery above the $30,000 resistance area. The price rose above the 23.6% Fib retracement level of the recent decline from $31,550 to $29,848.
However, the price struggled near the $30,700 level. Bitcoin is now trading under $30,500 and Simple moving average per 100 hours.
There is immediate resistance on the upside near the $30,400 level and the 100 hourly simple moving average. The first major resistance is near the $30,850 level. The main resistance is near the $31,250 level. There is also a major contracting triangle forming with resistance near $31,250 on the hourly chart of the BTC/USD pair.
Source: BTCUSD on TradingView.com
A clear move above the $31.250 resistance could lead the price to move higher. The next major resistance might be $32,000. Any further gains may require a change of direction and a move towards the $33,200 level.
Broke the downside in bitcoin?
If Bitcoin fails to clear the $31,250 resistance area, it may start dropping again. There is immediate support on the downside near the $30,000 level.
The next major support is near the $29,850 level. The main support is still near the $29,500 area. A break-down below the $29,500 support level could trigger another drop. In the mentioned case, the price could move towards the $28,500 support area in the near term.
Hourly MACD The MACD is now losing its momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now just below the 50 level.
Key support levels – $30,000, followed by $29,500.
Key resistance levels – $30,400, $30,850, and $31,250.