Bitcoin Price Breakout Looks Real, and BTC Could Attract More Buyers

By Aayush Jindal 3 Min Read
Bitcoin Price Breakout Looks Real and BTC Could Attract More Buyers
Bitcoin Price Breakout Looks Real and BTC Could Attract More Buyers

Bitcoin price is gaining pace above the $20,000 resistance. BTC/USD could rise further if there is a close above the $21,500 resistance zone.

Bitcoin Price Surges Past $20K

After forming a base above the $17,000 level, the bitcoin price increased. The BTC/USD pair gained pace and cleared a few key hurdles near $18,000 and $19,000.

In the past 2-3 days, there was a bullish expansion above the $19,500 resistance. It also raised the market sentiment for Ethereum, Solana, Cardano, and XRP. On the other hand, BTC price also cleared a key bearish trend line with resistance near $19,800 on the daily chart.

Bitcoin price daily chart
Bitcoin price daily chart | Source: BTCUSD on TradingView.com

The bulls even pumped the price above the $20,000 resistance zone. It tested the next major hurdle near $21,350 and $21,500. A high is around $21,378, and the price is now consolidating gains.

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Immediate support is near the $20,200 level. It is near the 23.6% Fib retracement level of the upward move from the $16,358 swing low to the $21,378 high. The first major support is near the $19,800 level and the broken trend line.

The main support is now forming near the $18,850 level or the 50% Fib retracement level of the upward move from the $16,358 swing low to the $21,378 high, below which the price could gain bearish momentum.

In the stated case, the price may test the $17,500 support and the 50-day simple moving average (blue). Any more losses might open the doors for a drop toward the $16,000 level.

Conversely, the price might increase above the $21,200 level. On the upside, immediate resistance is near the $21,350 level. The next key resistance might be near the $21,500 level. Finally, a close above the $21,500 level might send the price toward the $23,200 resistance zone.

Any more gains might push the price above the $24,000 resistance zone. The price might rise towards the $25,000 resistance in the stated case.

The bitcoin price shows many bullish signs above the $20,000 level. However, the current daily chart points towards a short-term downside correction before a move above the $21,350 resistance. Conversely, the price may decline toward the $18,800 support.

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