Bitcoin Holds Above $30,000 Support, Eyes Key Resistance Level
Bitcoin has maintained its position above the crucial $30,000 support zone, showing resilience amid the recent downside correction. Trading below $30,500 and the 100 hourly Simple Moving Average (SMA), Bitcoin is facing resistance near $30,500, accompanied by a bearish trend line on the hourly chart. This article looks at Bitcoin’s current price movement, potential resistance levels, and the possibility of a new uptrend if major barriers are breached.
Bitcoin underwent a downside correction, dropping briefly below the $30,000 support but finding limited downside momentum. The price has since rebounded from a low near $29,914 and is gradually moving higher. It has surpassed the 23.6% Fibonacci retracement level of its recent correction and is now trading above the $30,250 level. However, resistance near $30,500 and the 100 hourly SMA pose significant challenges for further gains.
To start a new bull run, Bitcoin needs to clear the $30,500 resistance and the 100 hourly SMA. Moreover, a major bearish trend line has formed around this level. If the bulls manage to overcome this hurdle, they may attempt a new push in the upcoming session. The first major resistance is near $30,850, close to the 61.8% Fibonacci retracement level. Next, Bitcoin might retest the $31,400 resistance zone, followed by the $32,000 level. Further upward momentum could push the price towards the $32,500 and $33,200 resistance levels.
However, if Bitcoin fails to break above the $30,500 resistance, a continuation of the downward move is possible. Immediate support hovers around the $30,000 level or the recent low of $29,914. In case of further declines, the next significant support awaits near $29,550, followed by a potential downside towards $29,200. Additional losses could push the price towards the $28,500 support in the near term. Currently, the hourly Moving Average Convergence Divergence (MACD) is trending positively, while the Relative Strength Index (RSI) is hovering above the 50 level.
