Bitcoin’s price rally is facing some obstacles that may prevent further upward movement. The cryptocurrency needs to surpass the $52,800 resistance level to continue its upward trajectory in the short term. Currently, Bitcoin is trading above $52,000 and the 100 hourly Simple Moving Average, which indicates bullish momentum.
Recently, there was a correction from the $52,800 resistance zone, leading to Bitcoin dropping below $52,000 and $51,500. However, support was found around the $50,500 area. Bitcoin is now attempting to rebound, with a break above the $51,880 key trend line resistance. Moreover, the price has cleared the 50% Fibonacci retracement level of the previous downward move.
The immediate resistance lies near $52,300, followed by the 76.4% Fibonacci retracement level at $52,800. If Bitcoin manages to surpass this level, it could extend its rally towards $53,200 and $54,000. The next resistance after that would be around $55,000.
However, if Bitcoin fails to break above the $52,300 resistance, it could trigger a new downward correction. The first support level is around $51,850, along with the trend line. If the price closes below the $51,300 support, it could gain bearish momentum, potentially leading to a decline towards the $50,500 support zone.
The technical indicators show positive signs, with the hourly MACD gaining strength in the bullish zone and the RSI for BTC/USD above the 50 level.
It’s essential to note that this information is provided for educational purposes only and does not constitute financial advice. Investors are advised to conduct their own research and consider the risks before making any investment decisions.