Bitcoin Bulls Keeps Pushing, Why $18.8K is a Key Breakout Zone

Bitcoin price is up over 4% and has passed the $ 18,500 level against the US dollar. BTC is currently following a good uptrend, but the $ 18,800 level is a strong resistance.

  • Bitcoin is slowly rising and has broken the key resistance of $ 18,500.
  • The price was $ 18,559, which is now above the 100-hour simple moving average.
  • A sharply rising channel is forming on the hourly chart of the BTC / USD pair (data feed from Kraken) with support near USD 18,280.
  • The bulls are likely to face strong resistance near the $ 18,800 zone.

Bitcoin price is approaching a major hurdle

In the weekly analysis we saw a renewed increase in the Bitcoin price above the level of USD 18,000. BTC has extended its surge above the $ 18,200 and $ 18,400 resistance levels.

There was also a break above the USD 18,500 resistance. The price was $ 18,559, which is now above the 100-hour simple moving average. Earnings are currently being consolidated and trading near the $ 18,450 level.

Initial downside support is near the USD 18,400 level. It is close to the 23.6% fib retracement level of the recent rise from the low of $ 17,946 to the high of $ 18,559. In addition, a sharply rising channel is forming on the hourly chart of the BTC / USD pair with support near USD 18,280.

Source: BTCUSD on TradingView.com

Channel support is close to the 50% fib retracement level of the recent spike from $ 17,946 to $ 18,559. On the upside, the channel resistance at $ 18,650 is a short-term resistance.

The first major resistance for the bulls is near the $ 18,800 level. A successful break above the $ 18,800 level could trigger a strong uptrend and Bitcoin could rise above $ 19,000 and even $ 19,200.

Another drop in BTC?

If Bitcoin fails to hit the breakout resistance at $ 18,800, it risks falling again. Initial support to the downside is near the $ 18,250 level or the lower trendline of the channel.

A significant break below the channel support could trigger a longer decline towards $ 18,000. The next major support below the $ 18,000 level is near the $ 17,400 level and the 100-hour simple moving average.

Technical indicators:

Hourly MACD – The MACD is now gaining momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC / USD is currently well above the 60 level with bullish signs.

Major Support Levels – $ 18,250, followed by $ 18,000.

Main Resistance Levels – $ 18,650, $ 18,800, and $ 19,000.