Bitcoin Regains Momentum, What Could Spark Additional Upsides

Bitcoin found support near $35,550 and started a fresh increase against the US Dollar. BTC must clear $38,000 for additional upsides in the near term.

Bitcoin corrected lower but the bulls were active near the $35,550 zone.
The price is now trading above $37,000 and the 100 hourly simple moving average.
There was a break above a major bearish trend line with resistance near $36,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could start a steady increase if there is a clear move above the $38,000 resistance.

Bitcoin Price Finds Support
Bitcoin price started a downside correction from the $38,500 resistance zone. BTC declined below the $36,500 level and the 100 hourly simple moving average.
However, the bulls were active near the $35,550 zone. A low was formed near $35,550 and the price started a fresh increase. There was a clear move above the $36,200 and $36,500 resistance levels. Besides, there was a break above a major bearish trend line with resistance near $36,500 on the hourly chart of the BTC/USD pair.
The pair is now trading above $37,000 and the 100 hourly simple moving average. It is testing the $37,200 resistance zone. It is near the 50% Fib retracement level of the recent decline from the $38,899 swing high to $35,550 low.
On the upside, an initial resistance is near the $37,250 level. The first major resistance is near the $37,650 zone. It is near the 61.8% Fib retracement level of the recent decline from the $38,899 swing high to $35,550 low.

Source: BTCUSD on TradingView.com
The main resistance is still near the $38,000 zone. An upside break above the $38,000 resistance could start a steady upward move. The next key resistance is near the $38,500 level, above which the bulls might gain strength.
More Losses in BTC?
If bitcoin fails to start a fresh increase above $38,000, it could start another decline. An immediate support on the downside is near the $36,500 zone.
The first major support is seen near the $35,550 zone. A downside break below the $35,550 support zone may perhaps push the price towards the $34,000 support zone.
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 above the 50 level.
Major Support Levels – $36,500, followed by $35,550.
Major Resistance Levels – $37,650, $38,000 and $38,500.

Cody Stewart

Cody Stewart

I have been trading cryptocurrencies for over 2 years now and have written numerous articles on the subject. I have also given talks on the topic at various conferences. In addition to being a cryptocurrency expert, I am also a certified financial planner.

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