Bitcoin bounced above the key $30,000 resistance zone after falling towards the $25,000 support zone. According to technical analysis by Aayush Jindal from NewsBTC:
Bitcoin Begins to Rebound
Bitcoin started a new upward movement after falling to $25.332. There was a clear move above the $26,500 and $27,500 resistance levels. BTC settled above the 50% Fib retracement level of the recent decline from the $32,130 high to $25.332 high. There is a major bearish trend line forming with resistance near $30,000 on the hourly chart of the
BTC/USD pair. The next major resistance is near the $30,500 area and the 100 hourly simple moving average. This is close to the 76.4% Fib retracement level of the recent decline from the $32,130 high to $25,332 low. A clear move above the $30,000 and $30,500 resistance levels
could initiate a fresh uptrend. The next key resistance could be near the $31,500 level, above which the price could rise above $32,000.
Will Bitcoin Drop Again?
Jindal says that if Bitcoin fails to break through the $30,000 resistance zone, it could start a fresh decline. An immediate support is near the $28,800 level. The next major support is seen near the $27,650 level. A downside break and close below the $27,650 support could accelerate losses. The next major support could be at $26,200, below which the bears could aim a move towards the $25,500 support zone.
What Do Technical Indicators Say?
- Hourly MACD – The MACD is now gaining momentum in the bullish zone.
- Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
- Major Support Levels – $28,200 followed by $27,650
- Major Resistance Levels – $30,000, 30,500 and 31,500
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