Bitcoin Forms Bullish Pattern, Why BTC Could Accelerate Higher

Bitcoin remained well bid above the $29,350 support zone against the US Dollar. BTC started a fresh increase and cleared the $30,000 resistance zone.

• Bitcoin started a recovery wave from the $29,350 support zone.
• The price is now trading above the $30,000 level and the 100 hourly simple moving average.
• There was a break above a major bearish trend line with resistance near $29,700 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair could accelerate higher if it clears the $31,180 resistance zone.

Bitcoin Price Aims Higher

Bitcoin price remained well bid near the key $29,350 support zone. A base was formed near $29,350 and the price started a fresh increase. There was a clear move above the $29,800 and $30,000 resistance levels.

Besides, there was a break above a major bearish trend line with resistance near $29,700 on the hourly chart of the BTC/USD pair. The pair climbed above the $30,000 level and the 100 hourly simple moving average. There was a spike above the 50% Fib retracement level of the key decline from the $32,400 swing high to $29,255 low.

Bitcoin price is now consolidating near the $30,800 level. An immediate resistance on the upside is near the $31,180 level. It is near the 61.8% Fib retracement level of the key decline from the $32,400 swing high to $29,255 low.

Source: BTCUSD on TradingView.com

The next major resistance is near the $31,650 level. A clear move above the $31,650 resistance level could start another increase. In the stated case, the price could rise towards the $32,400 resistance. The next major resistance sits near the $33,000 level.

Dips Limited in BTC?

If bitcoin fails to clear the $31,180 resistance zone, it could a downside correction. An immediate support on the downside is near the $30,400 level.

The next major support is near the $29,950 level and the 100 hourly simple moving average. A downside break below the $29,950 support may perhaps spark another decline. In the stated case, the price could revisit the $29,350 support zone in the near term.

Technical indicators:

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

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

Major Support Levels – $30,400, followed by $29,950.

Major Resistance Levels – $31,180, $31,650 and $32,400.