Bitcoin Which had been moving lower for a while, has now managed to break above the previous resistance level of $67,303.98 and has been showing signs of a potential rally since then.
At the time of writing, BTC price is up 0.04%, and is currently trading at around $67,303.98. BTC price is showing bullish signs and is also forming a base above the resistance level of $64,554.45.
The price is trading above the downtrend line and the 100-day simple moving average (SMA) on the 4-hour and daily chart indicating a bullish signal. This can be seen in the image below.
The Relative Strength Index (RSI) on the 4-hour time frame also indicates that the BTC price is as well rising The RSI line is heading near the overbought session above the 50% level. According to the RSI, the price may consolidate a little before continuing to the upside.
Moreover, the MACD 1-D indicator also indicates bullish momentum as the MACD histograms are already trending above the zero line, while the MACD line and the MACD signal line have crossed each other and are heading towards the MACD zero line. If both the MACD line and the MACD signal line successfully cross above the zero MACD line, the price is expected to move upward.
1-Day Alligator: Finally, it can be seen that Bitcoin price has successfully crossed the William Alligator indicator. The crocodile's jaw and lip have crossed over the crocodile's teeth, indicating the beginning of an upward movement.
What could happen if Bitcoin continues to rise?
There are two resistance levels $67,267.79 and $71,337.80. If the price of Bitcoin continues to rise leap Up with this momentum and breaking above the $67,267.79 resistance level, the price could move further towards the $71,337.80 resistance level. A breakout from this resistance level would send prices significantly higher, potentially setting a new high for the year.
What if the price drops?
If the price fails to break through the above-mentioned resistance levels, Bitcoin will continue to move lower. There are currently three major support levels for BTC, which are $64,554.45, $60,137.39, and $56,540.64.
If the price can continue the downtrend, it will move towards the $64,554.45 support level. If this level fails to hold, the price may move further to test the $60,137.39 and $56,540.64 support levels.
Featured image from iStock, chart from Tradingview.com