Bitcoin price is slowly moving higher above the $56,500 level. BTC might gain bullish momentum if it clears the $58,500 resistance zone. The price is trading above $57,000 and the 100 hourly Simple moving average. There is a connecting bullish trend line forming with support at $57,200 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair might start a fresh increase above the $58,500 resistance zone.
Bitcoin started a recovery wave above the $56,500 level and even climbed above $57,500. However, the bears are once again active near the $58,500 resistance zone. A high was formed at $58,200 and the price is now consolidating in a range. The bulls seem to be active above the $57,000 level, with immediate resistance near the $58,200 level and key resistance at $58,500. A clear move above this resistance might lead to a decent increase in the coming sessions, with the next key resistance at $59,200.
If Bitcoin fails to climb above the $58,500 resistance zone, it could start another decline. Immediate support on the downside is near the $57,400 level, followed by the first major support at $57,200 and the trend line. The next support is now near $56,200 and the 61.8% Fib retracement level of the upward move from the $54,955 swing low to the $58,200 high. Any further losses might send the price toward the $55,000 support zone in the near term.
Technical indicators suggest a mixed outlook for Bitcoin price. The MACD is now losing pace in the bearish zone, indicating a possible slowdown in momentum. However, the RSI for BTC/USD is above the 50 level, suggesting some bullish strength in the market. Major support levels to watch include $57,200 and $56,200, while major resistance levels stand at $58,200 and $58,500.
Bitcoin’s price action is currently at a crucial point, with the $58,500 resistance level serving as a key hurdle for further gains. Traders and investors should closely monitor the price movement around this level to gauge the potential for a breakout or a pullback in the near term.