Bitcoin Price Rises Steadily—But Can the Rally Hold This Time??

Bitcoin price started a fresh increase above the $82,500 zone. BTC is now consolidating gains and might attempt to clear the $85,850 resistance.

• Bitcoin started a fresh increase above the $83,200 zone.
• The price is trading above $82,500 and the 100 hourly Simple moving average.
• There was a break above a connecting bearish trend line with resistance at $84,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair could start another increase if it clears the $85,500 zone.

Bitcoin Price Rises Again

Bitcoin price started a fresh increase above the $81,500 zone. BTC formed a base and gained pace for a move above the $82,500 and $83,200 resistance levels.

The bulls pumped the price above the $84,500 resistance. A high was formed at $85,850 and the price recently started a downside correction. There was a move below the $84,500 support. The price dipped below the 23.6% Fib retracement level of the upward move from the $78,600 swing low to the $85,850 high.

However, the price remained stable above $82,200. Bitcoin price is now trading above $82,500 and the 100 hourly Simple moving average. There was a break above a connecting bearish trend line with resistance at $84,500 on the hourly chart of the BTC/USD pair.

On the upside, immediate resistance is near the $85,500 level. The first key resistance is near the $85,850 level. The next key resistance could be $86,500. A close above the $86,500 resistance might send the price further higher. In the stated case, the price could rise and test the $88,000 resistance level. Any more gains might send the price toward the $88,800 level.

Another Decline In BTC?

If Bitcoin fails to rise above the $85,500 resistance zone, it could continue to move down. Immediate support on the downside is near the $84,200 level. The first major support is near the $82,200 level and the 50% Fib retracement level of the upward move from the $78,600 swing low to the $85,850 high.

The next support is now near the $81,200 zone. Any more losses might send the price toward the $80,500 support in the near term. The main support sits at $80,000.

Technical indicators:

Hourly MACD – The MACD is now gaining pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.

Major Support Levels – $84,500, followed by $82,200.

Major Resistance Levels – $85,500 and $85,800.