Bitcoin price is showing positive signals above the USD 37,000 resistance zone. BTC looks set to see an upside break above the USD 38,000 resistance zone.
- Bitcoin started a new surge and climbed above the $37,000 zone.
- The price is trading above USD 37,000 and the 100 hourly Simple Moving Average.
- A major bullish trendline is forming with support near $36,950 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could gain bullish momentum once it crosses the USD 37,800 and USD 38,000 levels.
Bitcoin Price Extends Rise
Bitcoin price remained stable and started a new increase above the USD 36,000 level. BTC climbed above the $37,000 level to move into a positive zone and avoid more downsides.
The upward move was such that the price even reached the $37,350 level. It reached a high near $37,777 and the price is now consolidating gains. It is trading near the 23.6% Fib retracement level of the upward move from the $36,715 swing low to the $37,777 high.
Bitcoin is now trading above $37,000 and the 100 hourly Simple Moving Average. There is also a major bullish trendline forming with support around $36,950 on the hourly chart of the BTC/USD pair.
On the upside, immediate resistance is around the $37,800 level. The main resistance is still around the $38,000 level. A close above the $38,000 resistance could trigger another strong rise.
Source: BTCUSD on TradingView.com
The next major resistance could be near USD 38,800. A clear move above the USD 38,800 resistance could send the price further upwards towards the USD 39,200 level. In the said case, it could even test the $40,000 level. Any further gains could send BTC towards the USD 41,200 level.
Another Downward Correction in BTC?
If Bitcoin fails to rise above the USD 37,800 resistance zone, a downward correction could occur. The immediate downside support is near the $37,120 level or the 61.8% Fib retracement level of the upward move from the $36,715 swing low to the $37,777 high.
The next major support is $37,000 and the trendline. If there is a move below $37,000, there is a risk of more downside. In the mentioned case, the price could fall towards the support at $36,780 in the short term. The next major support or target could be $36,200.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major support levels – USD 37,120, followed by USD 37,000.
Major resistance levels – $37,800, $38,000 and $38,800.
