Crypto News

Bitcoin Recovery Runs Into Resistance: Here’s Are Key Breakout Levels

Bitcoin started an upside correction after testing the $9,000 support against the US Dollar. BTC is now facing a strong resistance near the $9,300 and $9,400 levels.

  • Bitcoin is recovering and it is trading above the $9,200 support level.
  • The price is facing a few key hurdles near $9,300, $9,400, and the 100 hourly simple moving average.
  • There is a major contracting triangle forming with resistance near $9,330 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could either climb further above $9,330 or start a fresh decline towards $9,000.

Bitcoin Price Showing Recovery Signs

Yesterday, bitcoin price extended its decline below the $9,200 support against the US Dollar. BTC tested the main $9,000 support level and settled well below the 100 hourly simple moving average.

A new weekly low was formed near $8,991 and recently the price started an upside correction. It recovered above the $9,150 and $9,200 levels to start a decent recovery. Besides, there was a break above the 23.6% Fib retracement level of the downward move from the $9,660 swing high to $8,991 low.

The price is currently trading in a range and consolidating above $9,200. On the upside, an initial resistance is near the $9,300 and $9,330 levels. There is also a major contracting triangle forming with resistance near $9,330 on the hourly chart of the BTC/USD pair.

Bitcoin Price

Bitcoin price trading above $9,200: Source: TradingView.com

The triangle resistance is close to the 50% Fib retracement level of the downward move from the $9,660 swing high to $8,991 low. If bitcoin breaks the $9,300 and $9,330 resistance levels, it could test the next resistance at $9,400.

Any further gains could lead the price towards the 100 hourly SMA or the $9,500 resistance, where the bears are likely to take a stand.

Fresh Decline in BTC

On the other hand, bitcoin price might start a fresh decline if it fails to stay above the triangle support and $9,200. An initial support below the $9,200 level is at $9,150.

The next major support is near the $9,000 level. A successful daily close below the $9,000 support level could open the doors for another sharp decline and the price might dive towards the $8,500 support level in the near term.

Technical indicators:

Hourly MACD – The MACD is slowly moving in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is still below the 50 level.

Major Support Levels – $9,200, followed by $9,000.

Major Resistance Levels – $9,300, $9,330 and $9,400.

How useful was this post?

Click on a star to rate it!

As you found this post useful...

Follow us on social media!

Write a Comment

Related Crypto News

The Three Most Controversial Bitcoin Price Models and What They Predict
Many are highly critical of the three highly popular models used widely by Bitcoin analysts — stock-to-flow, Hyperwaves, and...
Binance Donates $70k of PPE Equipment to Hospitals in the Philippines
Binance Charity (BC) has donated $70k worth of personal protective equipment (PPE) to eighteen hospitals and government institutions in...
Binance Donates $70k of PPE Equipment to Hospitals in the Philippines
Binance Charity (BC) has donated $70k worth of personal protective equipment (PPE) to eighteen hospitals and government institutions in...
Monaco Passes New Security Token Laws, but Acting on Them Is Not Easy
The government of Monaco has passed a new bill introducing the establishment of a security token framework. Monaco is...
Bitcoin SV is Up 21% This Week And Nobody Has a Clue Why
Bitcoin SV, the controversial blockchain token promoted by Craig Wright, has surged by 21 percent in just two days....
Bitcoin SV is Up 21% This Week And Nobody Has a Clue Why
Bitcoin SV, the controversial blockchain token promoted by Craig Wright, has surged by 21 percent in just two days....

Featured Crypto News

Bloomberg Analyst: Key Metrics Show Bitcoin Should Rocket Towards $12,000
It’s been a slow past few weeks for the Bitcoin market. The cryptocurrency has effectively been range-bound for two...
Report: $300B Worth of Food Will Be Traced Using Blockchain and IoT by 2027
A report claims that the global food industry could save over $100 billion annually by implementing blockchain and IoT...
BItcoin’s Sudden Drop to $9k Coincides With Fed’s Balance Sheet Contraction
Bitcoin plunged back towards $9,000 despite showing signs of upside correction in the early Friday session. The latest price...
Cardano (ADA) Is Forming the Signal That Preceded a 75% Crash: Analyst
Despite Bitcoin’s stagnation, Cardano (ADA) has performed extremely well over recent weeks. Data from crypto research firm Messari shows...
Three Important Reasons Why Ethereum Could Tumble Below $220
Ethereum failed to continue higher above $233 and declined sharply against the US Dollar. ETH is now trading below...
Bitcoin Dropping to $6K ‘Golden Pocket’ Isn’t Bearish, Says Trader
A classic Fibonacci retracement could land BTC/USD at $6,300 or lower and still not disturb the long-term trend. Bitcoin...