Bitcoin started a downside correction from the $57,800 zone against the US Dollar. BTC must stay above the 100 hourly SMA to start a fresh increase in the near term.
- Bitcoin corrected lower below the $57,000 pivot level.
- The price is now trading above $56,000 and the 100 hourly simple moving average.
- There is a major bullish trend line forming with support near $55,200 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start a fresh increase if it clears the $57,000 resistance zone.
Bitcoin Price Remains Supported
Bitcoin price extended its increase above the $57,000 pivot level. BTC even broke the $57,500 level and settled above the 100 hourly simple moving average.
However, the price struggled to extend gains above the $58,000 level. It traded as high as $57,837 and recently corrected lower. There was a break below the $57,000 level. The price even spiked below the $56,000 level and the 100 hourly SMA.Bitcoin found support near $54,019 and recently started an upward move. It climbed above the $55,000 level. There was a break above the 50% Fib retracement level of the recent decline from the $57,837 swing high to $54,019 low.
It is now trading above $56,000 and the 100 hourly simple moving average. There is also a major bullish trend line forming with support near $55,200 on the hourly chart of the BTC/USD pair. On the upside, the bulls are facing resistance is near the $56,350 level. It is near the 61.8% Fib retracement level of the recent decline from the $57,837 swing high to $54,019 low. The first key resistance is near the $57,000 level and a connecting bearish trend line on the same chart.
Source:A clear break above the $57,000 resistance could open the doors for a fresh increase. The next major resistance sits near the $58,000 level.