Bitcoin Eyes Fresh Increase But This Level Is The Key

Bitcoin is stable above the $29,600 support against the US Dollar. BTC must clear the $31,350 resistance to start a decent increase.

• Bitcoin is struggling to gain momentum above $30,500 and $30,600.
• The price is now trading near the $30,000 level and the 100 hourly simple moving average.
• There is a key bullish trend line forming with support near $29,650 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair could gain bullish momentum if there is a close above the $31,350 resistance.

Bitcoin Price Is Consolidating

Bitcoin price found support near the $29,000 zone and started a fresh increase. There was a clear move above the $29,500 resistance zone and the 100 hourly simple moving average.

The price climbed above the $30,000 resistance zone. There was a move above the 50% Fib retracement level of the last main decline from the $31,390 swing high to $29,060 low. However, the bulls struggled to stay in action above the $30,500 zone.

It faced resistance near the $30,600 level and the 61.8% Fib retracement level of the last main decline from the $31,390 swing high to $29,060 low.

Bitcoin is now trading near the $30,000 level and the 100 hourly simple moving average. There is also a key bullish trend line forming with support near $29,650 on the hourly chart of the BTC/USD pair. An immediate resistance is near the $30,600 level.

Source: BTCUSD on TradingView.com

The next major resistance is near the $31,350 level. A clear move above the $31,300 and $31,350 resistance levels might start a fresh increase in the near term. The next key resistance could be near the $32,000 level, above which the price might rise towards $33,200.

Fresh Drop in BTC?

If bitcoin fails to gain pace above the $30,600 resistance zone, it could start a fresh decline. An immediate support on the downside is near the $29,650 level.

The next major support is near the $29,150 level. A downside break and close below the $29,150 support might put pressure on the bulls. In the stated case, the price could decline towards the $28,000 level.

Technical indicators:

Hourly MACD – The MACD is now slowly gaining pace in the bearish zone.

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

Major Support Levels – $29,650, followed by $29,150.

Major Resistance Levels – $30,600, $31,350 and $32,000.