TA: Bitcoin Consolidates, Here’s Why BTC Could Surge Above $64K

Bitcoin price started a downside correction from the $54,900 zone against the US Dollar. BTC is now consolidating and it could start a fresh increase if it clears $54,900

  • Bitcoin is showing positive signs above the $62,500 and $62,000 levels.
  • The price is now trading well above the $62,000 level and the 100 hourly simple moving average.
  • There is a key contracting triangle forming with resistance near $63,700 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair is likely to start a fresh rally if it clears the main $64,000 resistance zone.

Bitcoin Price is Holding Gains

Bitcoin traded to a new all-time high at $64,892 before starting a downside correction. BTC corrected below the $64,000 and $63,500 support levels.

There was a spike below the $62,000 support, but the 100 hourly simple moving average acted as a support. The price is now trading well above the $62,000 level and the 100 hourly simple moving average. It recovered above the 50% Fib retracement level of the recent decline from the $64,892 swing high to $61,292 low.

Bitcoin Price

Source: BTCUSD on TradingView.com

However, the bulls are now facing resistance near the $63,500 zone. There is also a key contracting triangle forming with resistance near $63,700 on the hourly chart of the BTC/USD pair.

The triangle resistance is near the 61.8% Fib retracement level of the recent decline from the $64,892 swing high to $61,292 low. A successful break above the triangle resistance could spark an upside break above the $64,000 level. In the stated case, the price could rally towards the $65,000 level. Any more gains might call for a move towards the $66,500 and $66,800 levels in the near term.

Dips Supported in BTC?

If bitcoin fails to climb above $63,700 and $64,000, there could be another downside correction. An initial support on the downside is near the $62,500 level.

The main support is now forming near the $62,000 level and the triangle trend line. A downside break below the triangle trend line support might lead the price further lower towards the key $61,120 support zone in the near term.

Technical indicators:

Hourly MACD – The MACD is slowly losing momentum in the bullish zone.

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

Major Support Levels – $62,000, followed by $61,120.

Major Resistance Levels – $63,500, $63,700 and $64,000.

Publication date: 
04/16/2021 - 06:08
Author: 
Disclaimer

The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.