Bitcoin Bulls Protecting $30K, Why BTC Could Correct above $32K

Bitcoin Bulls Protecting K, Why BTC Could Correct above K

Bitcoin price has widened its decline against the US dollar below $ 31,000 and $ 30,000. BTC is correcting higher and it appears the bulls are aiming for a break above USD 32,000.

  • Bitcoin fell below the $ 32,000 support level and revisited the $ 29,250 zone.
  • The price is currently rebounding above $ 30,000 but is well below the 100-hour simple moving average.
  • A key bearish trendline is forming on the hourly chart of the BTC / USD pair (data feed from Kraken) with resistance near USD 31,350.
  • The pair could correct towards $ 32,000 or $ 32,800 if it clears trendline resistance.

Bitcoin price is trying to recover strongly

As discussed yesterday, Bitcoin price has extended its decline and traded below the support of $ 32,000. BTC even broke the $ 31,000 level and was below the 100 hour simple moving average.

There was a significant break below the $ 30,000 support zone and the price tested was $ 28,250. A low is being formed near $ 29,271 and the price is currently correcting higher. It surpassed the $ 30,000 and $ 30,200 resistance levels.

There was a break above the 23.6% fib retracement level of the bearish wave from the high of $ 34,915 to the low of $ 29,271. However, the price is now facing resistance near $ 31,200 and $ 31,300. A key bearish trendline is also forming on the hourly chart of the BTC / USD pair with resistance near USD 31,350.

Source: BTCUSD on TradingView.com

If there is a significant break above the trendline resistance, Bitcoin price could rebound towards the USD 32,000 resistance. The 50% Fib retracement level of the downward wave from the high of $ 34,915 to the low of $ 29,271 is also close to the $ 32,000 level along with the 100 hour SMA.

A successful break above the USD 32,000 resistance and the 100 hour SMA could open the doors for a sharp rise. The next major resistance is near the $ 32,800 and $ 33,000 levels.

Fresh dip in BTC?

If Bitcoin fails to offset the $ 31,300 or $ 32,000 resistance, it could cause another drop. Initial support is near channel support at $ 30,000.

The main support is now forming near the $ 29,250 zone. A sharp break below the USD 29,250 support zone could open the doors for a larger decline towards USD 28,000.

Technical indicators:

Hourly MACD – The MACD is slowly picking up pace in the bullish zone.

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

Major Support Levels – $ 30,400, followed by $ 30,000.

Main Resistance Levels – $ 31,300, $ 32,000, and $ 32,800.

Stay in the Loop

Get the daily email from CryptoNews that makes reading the news actually enjoyable. Join our mailing list to stay in the loop to stay informed, for free.

Latest stories

- Advertisement - spot_img

You might also like...