Bitcoin Stages Rebound, Bulls Target Higher Resistance After Sell-Off
Bitcoin Stages Rebound, Bulls Target Higher Resistance After Sell-Off
Bitcoin (BTC) is showing strong signs of recovery following a recent sell-off, actively trading above key support levels. Technical indicators, including a bullish MACD and RSI above 50, suggest a positive momentum. The cryptocurrency successfully broke above a bearish trend line and its 100-hourly Simple moving average. While facing significant resistance at $106,500, a breakthrough could propel BTC towards the $110,500 mark. Conversely, failure to clear this resistance could lead to another decline, with crucial support identified around $102,500.
Bitcoin Price Attempts Rebound
Bitcoin (BTC) price is attempting to recover above the $103,500 mark, following a period of sell-off. The premier cryptocurrency has managed to stay above its $101,000 support level, initiating a recovery wave that has seen it climb above $102,500 and $103,500 resistance levels. A notable development includes a break above a key bearish trend line, as observed on the hourly chart of the BTC/USD pair, supported by data from Kraken.
Currently, Bitcoin is trading above $104,000 and the 100 hourly Simple moving average, indicating a potential shift in momentum towards the bullish side. The price even climbed above $105,000 and tested the $106,500 resistance zone, with a high formed at $106,593. The asset is now consolidating gains above the 23.6% Fib retracement level of the recent upward move.
Key Resistance and Support Levels
For bulls to sustain the current move, clearing the $106,500 resistance zone is paramount. A successful break above this level could open the path for further gains, potentially pushing the price towards $107,500, $108,000, and even higher, with barriers identified at $109,200, $109,800, and $110,500. Technical indicators reinforce this positive outlook: the Hourly MACD is gaining pace in the bullish zone, and the Hourly RSI (Relative Strength Index) for BTC/USD is now above the 50 level.
However, should Bitcoin fail to rise above the critical $106,500 resistance, it faces the risk of another decline. Immediate support is situated near $104,850, followed by major support levels at $104,200 and $103,500. The article highlights that the main support lies at $102,500; a fall below this level could lead to a struggle for recovery in the near term.