After forming a base above the $75,000 level, Bitcoin price started a recovery wave. BTC was able to settle above the $78,000 and $80,000 resistance levels. It consolidated for a few days above $80,000 and recently gained pace above the $82,000 resistance zone.
There was a break above a key bearish trend line with resistance at $82,800 on the daily chart. The price traded above the 23.6% Fib retracement level of the downward move from the $109,550 swing high to the $74,500 low.
Bitcoin price daily chart | Source: BTC/USD on TradingView.com
Bitcoin price even climbed above the $86,500 resistance and the 50-day simple moving average (blue). These are all positive signs and suggest that the bulls are slowly gaining strength for a fresh bullish wave.
The price is now facing resistance near the $88,800 zone (a multi-touch region). If the bulls remain active and push the price above the $88,800 resistance, it could spark more upsides. In the stated case, BTC could rise and test the $90,000 resistance.
The first major resistance is near the $92,000 level. It is near the 50% Fib retracement level of the downward move from the $109,550 swing high to the $74,500 low.
The main resistance could be near the $96,200 zone. A close above the $96,200 resistance might spark more upsides. The next stop BTC price could be the $98,800 level, above which the price could rise toward the $100,000 level.
A daily close above the $100,000 resistance zone could push the price toward the $102,500 level. Any more gains might call for a test of $105,000.
Are Dips Supported In BTC?
Conversely, Bitcoin price might struggle to clear $88,800 or $90,000 and start another decline. Immediate support on the downside is near the $86,200 level.
The first major support is near the $84,000 level and the 50-day simple moving average (blue). A downside break and close below the $84,000 support might spark more losses and send the price further lower. In the stated case, Bitcoin could test the $82,000 support. The next key support could be $80,000 and the same trend line, below which BTC might slide toward the $77,000 zone.
Overall, Bitcoin is showing positive signs and might soon attempt a move above the $88,800 resistance zone. If BTC dips, the bulls could protect the $84,000 support zone in the coming days.
