Bitcoin Eyes Fresh Rally, Why Close above $66k Is Important

Bitcoin

Bitcoin price recovered losses and climbed above $65,000 against the US Dollar. BTC must climb above the $66,350 zone to start a fresh rally in the near term.

Bitcoin Price Faces Resistance

Bitcoin price remained well bid near the $62,500 zone. As a result, BTC started a fresh increase above the $64,000 resistance zone. There was a clear break above the $65,000 resistance and the 100 hourly simple moving average.

Besides, there was a break above a key bearish trend line with resistance near $65,000 on the hourly chart of the BTC/USD pair. The pair climbed above the 50% Fib retracement level of the main decline from the $68,762 swing high to $62,300 low.

On the upside, an immediate resistance is near the $66,000 level. The first major resistance is near the $66,400 level. It is close to the 61.8% Fib retracement level of the main decline from the $68,762 swing high to $62,300 low.

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A clear break above $66,350 resistance may possibly call open the doors for a fresh increase. The next major resistance sits near the $68,000 level, where the bears might take a stand. An intermediate resistance for the bulls may possibly be near the $67,250 level.

Fresh Decline in BTC?

If bitcoin fails to clear the $66,350 resistance zone, it could start a fresh downside correction. An immediate support on the downside is near the $65,200 level.

The first major support is now forming near the $65,000 level and the broken trend line. Any more losses could lead the price towards the $64,500 level. The next major support is near the $64,000 level, below which the price could even decline below the $63,500 support zone.

Technical indicators:

Hourly MACD – The MACD is now losing 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 – $65,200, followed by $65,000.

Major Resistance Levels – $66,000, $66,350 and $68,000.

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