Bitcoin price is trying to recover from the $16,000 support zone. BTC could start a decent uptrend if it breaks the $17,000 and $17,200 resistance levels in the short term.
- Bitcoin is slowly moving higher and consolidating above the $16,500 level.
- The price is trading above $16,500 and the 100 hourly simple moving average.
- On the hourly chart of the BTC/USD pair (data feed from Kraken), a bearish trend line is forming with resistance near $16,900.
- The pair could start a recovery wave if it breaks the $17,000 resistance zone.
Bitcoin Price Consolidating
The price of bitcoin has remained stable above the $16,000 support zone. BTC formed a base and slowly rose above the $16,350 resistance zone.
There was a move above the Fibonacci 23.6% retracement level of the down move from the $18,155 swing high to $15,833 low. The bulls were able to contain the losses and the price began to move in a range above the $16,400 level.
The price of bitcoin is now trading above $16,500 and the 100 hourly simple moving average, similar to ethereum. On the other hand, immediate resistance lies near the $16,900 level. On the hourly chart of the BTC/USD pair, a bearish trend line is also forming with resistance near $16,900.
The trendline is near the 50% Fibonacci retracement level of the down move from the $18,155 swing high to $15,833 low. The first major resistance is near the $17,000 zone. A clear move above the $17,000 resistance could start a decent uptrend.
Source: BTCUSD on TradingView.com.
The next major resistance is near $17,265, above which the price could test the $18,000 zone. Further growth could send the price towards the $18,500 resistance zone.
Fresh BTC decline?
If Bitcoin fails to start a recovery wave above the $17,000 resistance zone, it could start another decline. Immediate support on the downside is near the $16,650 level and the 100-hour SMA.
The next major support is near the $16,350 zone. A clear move below the $16,350 support could see the price drop further. In this case, the price may drop to the $16,000 support zone.
Hourly MACD – Now the MACD is losing momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
The main support levels are $16,350 followed by $16,000.
The main resistance levels are $16,900, $17,000 and $17,500.