Bitcoin price started a downside correction from the $61,700 high against the US Dollar. BTC is holding gains above the $58,500 and $58,000 support levels.
- Bitcoin gained bullish momentum above $60,000 and it even traded above $61,500.
- The price corrected lower below $60,000, but it is still well above the 100 hourly simple moving average.
- There is a key bullish trend line forming with support near $58,200 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair is climbing again and it seems like the bulls are likely to aim a test of $62,000.
Bitcoin Price Remains in a Strong Uptrend
There was a strong increase in bitcoin above the $55,000 and $58,000 resistance levels. BTC even cleared the $60,000 resistance and settled well above the 100 hourly simple moving average.
It traded to a new all-time high near $61,700 before starting a downside correction. There was a break below the $61,000 support level. The price even traded below the 23.6% Fib retracement level of the upward move from the $56,124 swing low to $61,700 high.
However, the bulls were active above the $58,500 and $58,800 levels. There is also a key bullish trend line forming with support near $58,200 on the hourly chart of the BTC/USD pair.
Source: BTCUSD on TradingView.com
Bitcoin also remained stable above the 50% Fib retracement level of the upward move from the $56,124 swing low to $61,700 high. It is now rising and trading nicely above $59,500. An immediate resistance is near the $61,000 level.
The next major resistance is near the $61,700 high. It seems like the price might continue to rise and it could even clear the $62,000 level in the near term.
Dips Supported in BTC?
If bitcoin fails to clear the $61,000 resistance, it could correct lower. The first key support on the downside is near the $59,000 level.
The main support is near the trend line and $58,500. Any more losses might call for a test of the $58,000 support level. If there is a downside break below $58,000, the price could slide towards the $56,200 level in the coming sessions.
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 back above the 50 level.
Major Support Levels – $59,000, followed by $58,200.
Major Resistance Levels – $61,000, $61,700 and $62,000.
