Bitcoin (BTC) price surged to the $ 18,500 level before correcting against the US Dollar. BTC needs to stay above $ 17,500 to continue upward in the near term.
Bitcoin surged towards the $ 18,500 level before recovering sharply.
The price is holding the $ 17,500 support and is well above the 100 hourly simple moving average. There is a large triangle with resistance around $ 18,020 on the hourly chart of the BTC / USD pair, according to analyst Aayush Jindal. If there is a proper close above $ 18,000 and $ 18,200, the pair could start a new rally.
Key Supports in Bitcoin
Yesterday, there was a sharp rise in bitcoin price above the $ 17,500 resistance level. BTC climbed above 10% and even broke the $ 18,000 level. The price surged to around $ 18,500, its highest level for the month before starting a sharp drop. Later, the price dropped as low as $ 1,000 and broke the $ 17,800 support downside.
The price is now consolidating earnings below $ 18,000. There is a large triangle with resistance near $ 18,020 on the hourly chart of the BTC / USD pair. The first major support appears to be forming near the $ 17,700 level and the triangle lower trend line. If there is a downside break below the triangle support, the price could test the $ 17,500 support. A proper close below the $ 17,500 support could start a strong decline in the coming days.
Will there be a New Rally at BTC?
If Bitcoin clears the triangle resistance and then moves up to $ 18.107, it could recover again. The next hurdle is near the $ 18,200 level. A proper follow-up move above the $ 18,200 level could open the doors for a larger increase. The next major resistance is near $ 18,500 and $ 18,880.
Hourly MACD: The MACD is slowly losing momentum in the bearish zone.
Hourly RSI (Relative Strength Index): The RSI for BTC / USD is currently well above the 50 level.
Major Support Levels: $ 17,700 followed by $ 17,500.
Major Resistance Levels: $ 18,020, $ 18,200 and $ 18,500.