Bitcoin price climbed further above the USD 11,000 resistance to the US dollar. BTC is currently correcting gains, but dips are likely to remain supported near USD 10,800.
- Bitcoin expanded its upward move above the USD 10,900 and USD 11,000 resistance levels.
- The price is now forming a strong support above USD 10,800 and the 100 easy hourly moving average.
- A major bullish trendline is forming with support near USD 10,840 on the hourly chart of the BTC / USD pair (Kraken data feed).
- The pair is likely to resume its upward movement as long as it is above USD 10,800 and the 100 hourly SMA.
Bitcoin price is showing positive signs
After a successful close above the USD 10,800 level, bitcoin price extended its gains against the US dollar. BTC broke the key USD 11,000 resistance level and settled well above the 100 easy hourly moving average.
The price traded to a new weekly high at $ 11,102 and recently started a downward correction. It traded below the USD 11,000 level and also broke the 23.6% Fib retracement level of the recent upward move from the low of $ 10,675 to the high of $ 11,102.
Bitcoin is now approaching the USD 10,880 support zone as it is close to the 50% Fib retracement level from the recent upward move from USD 10,675 low to USD 11,102 high. A major bullish trendline is also forming with support near USD 10,840 on the hourly chart of the BTC / USD pair.
Bitcoin price spikes above $11,000. Source: TradingView.com
As long as the price remains above the trendline support, it could resume its upward movement above the USD 11,000 resistance. The first resistance is near the USD 11,100 level, above which the bulls are likely to target more upward towards USD 11,500 and USD 11,600 in the near term.
Dips supported in BTC?
If bitcoin doesn’t resume its upward move above the USD 11,000 level, it could correct further lower. An initial support on the downside is near the trendline at USD 10,840.
A downside break below the trendline support could perhaps trigger an extended decline towards the $ 10,650 support level or the 100 hourly SMA. Any further losses could narrow the chances of a strong rally this week and the price could continue to decline towards USD 10,200.
Hourly MACD – The MACD is currently losing momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC / USD is currently just below the 50 level.
Key Support Levels – USD 10,840, followed by USD 10,650.
Major Resistance Levels – USD 11,000, USD 11,100 and USD 11,500.