Bitcoin Price Consolidates Above $70K Amidst Bullish Sentiment
Bitcoin continues to trade above the crucial $70,000 resistance level, consolidating its recent gains. The cryptocurrency’s price is now positioned for a potential rally if it manages to break above the $71,500 resistance in the near future.
In the recent uptrend, Bitcoin surpassed the $66,500 level, indicating a positive market sentiment. Furthermore, the price is currently trading above the $70,000 mark and the 100-hourly Simple Moving Average, indicating bullish momentum.
A significant factor supporting the bullish sentiment is the presence of a key trend line with support at $68,500 on the BTC/USD hourly chart. This trend line coincides with the 61.8% Fibonacci retracement level of the upward movement from the $66,811 swing low to the $71,557 high. This further strengthens the support level and suggests potential for an upward move.
Bitcoin recently reached a new weekly high near $71,557 before entering a consolidation phase. Though there was a minor downside correction, with the price briefly dipping below the 23.6% Fibonacci retracement level, it managed to stay firm above $69,000.
Looking ahead, if Bitcoin surpasses the immediate resistance at $70,800, it could make further gains and aim for the major resistance level at $71,500. A decisive breakout above this level could pave the way for Bitcoin to test the $72,500 and $73,500 resistance zones in the near term.
On the other hand, failure to surpass the $71,500 resistance may result in another decline. Immediate support can be found near the $70,000 level, followed by the major support levels at $69,000 and $68,500, where the bullish trend line is located. If the price falls below $68,500, it could see a drop towards the $67,000 level and the 100-hourly SMA. Further losses may bring the price closer to the $66,000 support zone.
Considering the technical indicators, the MACD is showing a loss in bullish momentum, while the hourly RSI remains above the 50 level, signifying a positive trend.
Disclaimer: This article is for educational purposes only and does not constitute investment advice. Investing in cryptocurrencies carries inherent risks, and individuals should conduct thorough research before making any investment decisions.