Bitcoin gained momentum above the $47,000 resistance. According to technical analysis by NewsBTC’s Aayush Jindal, BTC is showing positive signals and it could rally towards the $50,000 resistance zone.
Bitcoin Breaks $48,000
Staying strong above the $45,500 resistance zone, Bitcoin started a fresh increase and broke above the $48,000 level. It formed a local top around $48,200 and is now consolidating its gains.
There was a minor decline below the $48,000 level. Bitcoin traded below the 23.6% Fib retracement level of the upward move from the $44,470 high to $48,200 high. Besides, there is a key bullish trend line forming with support near $46,200 on the hourly chart of the BTC/USD pair.
BTC is facing resistance near the $48,000 level. The next major resistance could be near the $48,200 area. A successful break and close above the $48,200 level could push BTC towards $49,000. The next major resistance could be near the $49,500 level. Any further gains could open the doors for a move towards the $50,000 level.
Bitcoin Drops Limited?
Jindal says that if Bitcoin fails to break past the $48,200 resistance zone, it could start a downside correction. An immediate support is near the $47,000 region. The next major support is seen near the $46,350 level. This is close to the 50% Fib retracement level of the upward move from the $44,470 low to the $48,200 high. The main support is near the $46,000 level and the trend line. A downside break below the $46,000 support zone could send the price towards $45,000.
What Do Technical Indicators Say?
- Hourly MACD – The MACD is slowly gaining momentum in the bearish zone.
- Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
- Major Support Levels – $47,000 then $46,000
- Major Resistance Levels – $48,200, 49,000 & 50,000
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