- Bitcoin price started a downside correction from well above $60,000 against the US Dollar.
- The price is now trading near the $55,000 support and the 55 simple moving average (4-hours).
- There is a crucial bullish trend line forming with support near $54,550 on the 4-hours chart of the BTC/USD pair (data feed from Coinbase).
- The pair is likely to continue higher if it clears the $58,000 and $58,200 resistance levels in the near term.
Bitcoin price is holding a major support above $54,000 against the US Dollar. BTC is likely to resume its rise unless there is a daily close below the $53,000 support.
Bitcoin Price Analysis
This month, bitcoin price saw a steady increase above $55,000 against the US Dollar. BTC even broke the $60,000 resistance zone and settled above the 55 simple moving average (4-hours).
There was a break above the $61,000 level and the price traded to a new all-time high at $61,840. Recently, there was a downside correction and the price traded below the $60,000 support level. It even spiked below the $55,000 support level and the 55 simple moving average (4-hours).
However, the bulls were active above the $53,000 level. A low is formed near $53,210 and the price is now recovering higher. It traded above 23.6% Fib retracement level of the recent decline from the $61,841 high to $53,210 low.
There is also a crucial bullish trend line forming with support near $54,550 on the 4-hours chart of the BTC/USD pair. On the upside, the first major resistance is near the $57,525 level. It is close to the 50% Fib retracement level of the recent decline from the $61,841 high to $53,210 low.
A clear break above the $57,525 resistance could open the doors for a break above $58,000. In the stated case, the pair could rise steadily towards the $60,000 and $61,000 levels.
On the downside, the trend line support holds a lot of importance near $54,500. The next major support is near the $53,000 level, below which there could be a sharp decline.
Looking at the chart, bitcoin price is clearly holding ground near $55,000 and the 55 simple moving average (4-hours). Overall, the price is likely to continue higher if it clears the $58,000 and $58,200 resistance levels 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 still below the 50 level.
Key Support Levels – $54,500 and $53,000.
Key Resistance Levels – $57,525, $58,000 and $60,000.
