With a resounding rally, Bitcoin has recently demonstrated dynamism as the popular cryptocurrency’s price surged by nearly 8%, shattering multiple levels of resistance. It appears that Bitcoin (BTC) is settling into its newfound gains, yet in the short term, the cryptocurrency’s cost may correct to a safe $65,000.
The upward momentum had initially started when Bitcoin effortlessly cleared the fiercely contested resistance zone of $63,500. As of now, the value is trading comfortably above $65,000 and the 100 hourly Simple Moving Average. This recent buoyancy was a result of a major breakthrough over a significant bearish trend line with resistance situated at $61,500 on the hourly chart of the BTC/USD pair per data analysis conducted on Kraken.
The BTC/USD pairing has amassed a staggering over 6% rally, breaking multiple hurdles near the $63,500 resistance. This was pushed even further, clearing the $65,500 threshold. A new weekly high was established when it hit the $66,411 threshold, and this jubilant currency is now dwelling within its gains.
Bitcoin astoundingly maintains its gains above the 23.6% Fibonacci retracement level of the recent wave, one that arose from a $61,073 swing low to the memorable $66,411 peak. In the current scenario, immediate resistance hovers around the $66,400 mark.
Potential resistance, looming just over the horizon, could present itself at the $66,850 level. Another anticipated resistance level could also stand at $67,200. Indeed, should Bitcoin stagger its way over the tough $67,200 opposition, this might propel the price into even loftier heights, testing the resilience at the $68,000 mark.
Further still, should the resistance of the formidable $68,000 terrain be conquered, the price may keep upwards momentum. Such a push might see Bitcoin break ceilings, with potential expectations stretching as high as $70,000.
However, the question of stability arises; notwithstanding the highs, could there be an unwanted dip on Bitcoin’s eventful journey? If Bitcoin fails to make the upward climb above the $66,400 resistance terrain, it may signal the initiation of a downside correction. Immediate reinforcement on the lower spectrum lies close to $65,150.
Significant support commences at $64,500. However, should there be a shutdown below this degree, we may expect a downturn, possibly spiraling towards $63,500 or the 50% Fibonacci retracement of the same recent wave that stretched from the low of $61,073 to the high of $66,411. Further losses may even propel the price into the $63,000 support zone in the near term.
Investing in Bitcoin is not without its risks, especially with the technical indicators’ influence. The present environment sees the MACD gaining momentum in the bullish zone. However, the RSI for the BTC/USD is currently over the 50 level. With the primary support levels expected around $65,150, followed quickly by $64,500, and resistance levels expected at $66,400, $66,800, and $67,200, it becomes a game of economic chess, predicting the potential moves of a currency that continues to surprise us.
