HomeBitcoin NewsBitcoin Price Analysis: BTC Eyes Strong Recovery Above $34K

Bitcoin Price Analysis: BTC Eyes Strong Recovery Above $34K

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  • Bitcoin price extended its decline below the $30,000 support and tested $28,800 against the US Dollar.
  • The price is now trading below the $35,000 zone and the 55 simple moving average (4-hours).
  • There is a major bearish trend line forming with resistance near $34,000 on the 4-hours chart of the BTC/USD pair (data feed from Coinbase).
  • The pair must clear the trend line and $34,500 to move into a positive zone in the near term.

Bitcoin price is recovering higher above $32,000 against the US Dollar. BTC must surpass $34,500 and $35,000 for more upsides in the near term.

Bitcoin Price Analysis

Bitcoin price struggled to remain above the $35,000 support zone and it extended its decline. BTC broke the $32,000 and $30,000 support levels to move further into a bearish zone.

The price even spiked below $29,000, but it found a strong buying interest near the $28,850 level. A low was formed near $28,851 and it recently started a major increase. The price climbed above the $31,000 and $32,000 resistance levels.

However, the price is still trading below the $35,000 zone and the 55 simple moving average (4-hours). The price climbed above the 23.6% Fib retracement level of the key decline from the $41,411 swing high to $28,851 swing low.

The price is now facing a strong resistance near the $34,000 zone. There is also a major bearish trend line forming with resistance near $34,000 on the 4-hours chart of the BTC/USD pair.

The next major resistance is near the $35,000 zone. The 50% Fib retracement level of the key decline from the $41,411 swing high to $28,851 swing low is also near the $35,000 zone. A clear upside break above $35,000 could lead the price towards the 55 simple moving average (4-hours).

On the downside, an initial support is near the $32,000 level. The main support is now forming near $30,500, below which there is a risk of a sharp decline in the coming sessions.

Bitcoin Price
Bitcoin Price

Looking at the chart, bitcoin price is clearly trading well below $35,000 and the 55 simple moving average (4-hours). Overall, the price must clear the trend line and $34,500 to move into a positive zone in the near term.

Technical indicators

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

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

Key Support Levels – $32,000 and $30,500.

Key Resistance Levels – $34,000, $35,000 and $36,500.

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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