Bitcoin price rose by about 5% and crossed the $62,500 level. Bitcoin is now testing the resistance area at $63,500 at a positive angle.
- Bitcoin started a decent rally above the $62,200 and $62,400 levels.
- The price is trading above $62,500 and the 100 hourly simple moving average.
- There was a break above the major downtrend line with resistance at $61,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair may struggle to continue rising above the $63,650 resistance area.
Bitcoin price starts to recover
Bitcoin price formed a base above the $60,000 area. Bitcoin price remained stable and was able to start a decent rise above the resistance area at $61,500.
There was a break above a major downtrend line with resistance at $61,000 on the hourly chart of the BTC/USD pair. The bulls managed to push the price above the $62,500 resistance level. The price is up about 5% and is trading near the $63,650 resistance area.
Bitcoin price is trading above $62,500 and the 100-hour simple moving average. It is stable and well above the 23.6% Fib retracement level of the upward move from the $59,949 swing low to $63,675 swing high.
If there is another increase, the price could face resistance near the $63,650 level. The first major resistance is near the $64,000 level. The next major resistance could be $64,400. A clear move above the $64,400 resistance could lead to a steady increase and push the price higher.
In the mentioned case, the price may rise and test the $65,500 resistance level. Any further gains may send BTC towards the $66,000 resistance level in the near term.
Are the declines in BTC limited?
If Bitcoin fails to rise above the resistance area at $63,650, it could start a downside correction. Immediate support on the downside is near the $62,800 level.
The first major support is $61,800 and the 50% Fib retracement level of the upside move from the $59,949 swing low to $63,675 high. The next support is now forming near $61,250 and the 100-hour simple moving average. Any further losses could push the price towards the $60,500 support zone in the near term.
Technical indicators:
Hourly MACD – The MACD is now gaining momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Key Support Levels – $62,800, followed by $61,800.
Key resistance levels – $63,650 and $64,400.