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.
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.