- Bitcoin price started a fresh increase from the $40,000 zone against the US Dollar.
- The price is now trading above $42,000 and the 55 simple moving average (4-hours).
- There is a major bullish trend line forming with support near $42,400 on the 4-hours chart of the BTC/USD pair (data feed from Coinbase).
- The pair must clear $43,000 and then $43,200 to start another increase in the near term.
Bitcoin price is eyeing an upside break above the $43,000 resistance against the US Dollar. BTC could rally if there is a clear move above $43,000 and $43,200.
Bitcoin Price Analysis
Bitcoin price formed a base above the $38,500 level. As a result, BTC started a decent increase and broke many hurdles near the $40,000 level.
The price even gained pace above the $41,000 resistance and the 55 simple moving average (4-hours). The bulls remained in action there was a move above $42,000. The price is now facing resistance near the $43,000 and $43,200 levels.
The next major resistance on the upside is near the $43,350 level. To start another increase, the price must settle above the $43,350 level in the near term. The next major resistance could be $44,500, above which the price could rise to $45,500.
If there is no upside break, the price might start a downside correction below $42,700. An initial support is near the $42,400 level. There is also a major bullish trend line forming with support near $42,400 on the 4-hours chart of the BTC/USD pair.
The next key support is near the $42,000 level and the 50% Fib retracement level of the upward move from the $40,509 swing low to $43,389 high.
Any more losses might call for a test of the key $41,200 support zone. It is near the 76.4% Fib retracement level of the upward move from the $40,509 swing low to $43,389 high.
Looking at the chart, bitcoin price is clearly trading above $42,000 and the 55 simple moving average (4-hours). Overall, the price must clear $43,000 and then $43,200 to start another increase in the near term.
Technical Indicators
4 hours MACD – The MACD is now gaining momentum in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI is now above the 50 level.
Key Support Levels – $42,400 and $41,200.
Key Resistance Levels – $43,200, $43,350 and $44,500.