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Bitcoin Price Analysis: BTC Could Rally Further Above $51K

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  • Bitcoin price rallied to a new all-time high near $50,665 against the US Dollar.
  • The price is now consolidating above $48,500 and the 55 simple moving average (4-hours).
  • There is a major contracting triangle forming with resistance near $50,600 on the 4-hours chart of the BTC/USD pair (data feed from Coinbase).
  • The pair is likely to surge above $51,000 as long as there is no break below the $48,000 support.

Bitcoin price is trading in a strong uptrend above $48,000 against the US Dollar. BTC is showing positive signs and the bulls are likely to aim a break above the $51,000 level.

Bitcoin Price Analysis

In the past few days, there was a steady increase in bitcoin price above the $48,000 support zone against the US Dollar. BTC broke the $49,000 and $49,500 resistance levels to move further into a positive zone.

Finally, it cleared the $50,000 mark for the first time. A new all-time high was formed near $50,665 before there was a downside correction. The price dipped below the $50,000 and $49,000 levels. However, the bulls were able to protect the $48,000 support zone.

A low was formed near $47,900 before the price started a fresh increase. It broke the $49,500 resistance and settled above the 50% Fib retracement level of the recent drop from the $50,665 high to $47,900 swing low.

The price is now showing a lot of positive signs near the $50,000 level. It is also testing the 76.4% Fib retracement level of the recent drop from the $50,665 high to $47,900 swing low. It seems like there is a major contracting triangle forming with resistance near $50,600 on the 4-hours chart of the BTC/USD pair.

If there is a clear break above the triangle resistance and $50,665, there are chances of a strong increase. In the stated case, the price will most likely rally above the $51,000 level.

Conversely, there could be another downside correction below the $49,500 support. The main support is forming near the $48,000 level and the triangle lower trend line. Any more losses might lead the price towards the $45,000 level.

Bitcoin Price
Bitcoin Price

Looking at the chart, bitcoin price is clearly trading well above $48,000 and the 55 simple moving average (4-hours). Overall, the price is likely to surge above $51,000 as long as there is no break below the $48,000 support.

Technical indicators

4 hours MACD – The MACD is now gaining momentum in the bullish zone.

4 hours RSI (Relative Strength Index) – The RSI is well above the 50 level.

Key Support Levels – $48,500 and $48,000.

Key Resistance Levels – $50,600, $52,000 and $55,000.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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