Bitcoin continued to find support well near the $42,700 support area ahead of US inflation data. According to technical analysis by NewsBTC’s Aayush Jindal, it could rise above $44,850 in the near term.
Bitcoin Aims for a New Rising
Bitcoin started a downside correction below the $44,000 level but remained stable above $42,500 and the 100 hourly simple moving average. A bottom was formed near $42,709 and the price started a fresh increase. There was a clear move above the $43,200 and $43,500 resistance levels. BTC settled above the 50% Fib retracement level of the downside move from the $45,500 high to $42,709 high.
There is also a key ascending channel forming with support near $44,000 on the hourly chart of the BTC/USD pair. An immediate resistance is near the $44,500 level. The next major resistance is near the $44,850 zone or the 76.4% Fib retracement level of the move from the $45,500 high to $42,709 high, above which the price could rise above $45,000. In the stated case, BTC could continue to rise towards the $46,500 level.
Will Bitcoin Fall?
Jindal says that if Bitcoin fails to start a fresh increase above $44,850, it may continue to decline. According to him, the next major support is near the $43,500 level and the 100 hourly simple moving average. If there is a downside break below the $43,500 support, the price could start a major decline towards the $41,200 level.
What Are Technical Indicators Saying?
- Hourly MACD – The MACD is slowly moving into the bearish zone.
- Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now close to the 50 level.
- Main Support Levels – $44,000 followed by $43,500
- Main Resistance Levels – $44,850, 45,000 and 45,500
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