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Bitcoin price started a recovery wave from the $57,200 area. Bitcoin price is rising, but it may face difficulty to surpass the $60,200 and $61,150 resistance levels.
- Bitcoin is trying to make a recovery wave above the $58,000 support area.
- The price is trading above the $58,000 level and the 100-hour simple moving average.
- There was a break above the bearish trend line connected to resistance at $58,350 on the hourly chart of the BTC/USD pair (data from Kraken).
- The pair could face stiff resistance at $60,200 or $61,150 in the near term.
Bitcoin price begins to recover
Bitcoin price losses extended below the $58,500 support level. Bitcoin even jumped below $57,200. The lows were formed at $57,124 and the price recently started a recovery wave.
There was a move above the $58,000 and $58,200 resistance levels. It surpassed the 50% Fib retracement level of the downside move from the $61,143 swing high to $57,124 low. There was also a break above a connected bearish trend line with resistance at $58,350 on the hourly chart of the BTC/USD pair.
Bitcoin is now trading above the $58,000 level and the 100-hour simple moving average. On the upside, the price could face resistance near the $60,200 level or the 76.4% Fib retracement level of the downside move from the $61,143 swing high to $57,124 swing low.
The first major resistance is near the $61,150 level. A clear move above the $61,150 resistance could push the price higher in the coming sessions. The next major resistance could be at $62,000. A close above the $62,000 resistance could lead to further gains. In the mentioned case, the price could rally and test the $65,000 resistance level.
Another Bitcoin Drop?
If Bitcoin fails to rise above the $60,200 resistance area, it could start declining again. Immediate support on the downside is near the $58,750 level.
The first major support is $58,500. The next support is now near the $57,200 area. Any further losses could push the price towards the $56,200 support in the near term.
Technical indicators:
Hourly MACD – The MACD is now gaining momentum in the bullish zone.
Hourly Relative Strength Index (RSI) – The RSI for BTC/USD is now above the 50 level.
Key support levels – $58,750, followed by $58,500.
Key resistance levels – $60,200, $61,150.