Bitcoin Price Shows Potential for Further Upside Towards $60K: Will it Break Through?
The price of Bitcoin has managed to hold above the $57,500 resistance level, indicating positive signs for potential further gains towards the $60,000 mark. BTC is currently attempting a fresh increase above the $57,200 support zone and is trading above $57,500 and the 100 hourly Simple moving average.
On the hourly chart of the BTC/USD pair from Kraken, a key contracting triangle is forming with resistance at $58,500. If the pair manages to clear the resistance levels at $58,500 and $58,650 in the near term, it could climb higher.
Bitcoin’s recent ascent began after it broke the $57,000 resistance zone and surpassed the $58,000 resistance zone. However, the bears have proven to be active around the $58,500 resistance area, leading to a consolidation of gains. The price briefly dipped below $58,000 and the 23.6% Fib retracement level of the upward move from the $55,550 swing low to the $58,450 high.
Despite this minor setback, Bitcoin remains above $57,500 and the 100 hourly Simple moving average. Looking ahead, the price could encounter resistance near $58,500, with the formation of the key contracting triangle. The $58,650 level also poses a significant resistance. A breakthrough above $58,650 may trigger a steady increase and potentially test the $60,000 resistance level.
However, if Bitcoin fails to rise above the $58,500 resistance zone, it could experience another decline. Immediate support is seen near the $57,600 level, followed by the first major support at $56,650 (61.8% Fib retracement level). Additional support can be found near the $56,220 zone, and further losses might lead to a test of the $55,550 support level in the near term.
In terms of technical indicators, the MACD is currently losing pace in the bullish zone, while the RSI for BTC/USD is above the 50 level, indicating positive momentum.
Overall, Bitcoin seems poised for further upside potential, with a break above the $58,500 resistance level possibly leading to a steady climb towards $60,000. However, a failure to breach the resistance could result in a downside correction, with immediate support levels at $57,600 and $56,650.