TA: Bitcoin Sets New ATH Above $52K, Why Dips Remain Attractive
Bitcoin price extended its rally above the $51,000 level and it even broke $52,000 against the US Dollar. BTC traded to a new all-time high near $52,745 and it is consolidating gains.
- Bitcoin broke the $52,000 resistance and traded to a new all-time high near $52,745.
- The price is trading nicely near $52,000 and it is well above the 100 hourly simple moving average.
- There is a short-term contracting triangle with resistance near $52,250 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could dip towards $51,500 or $51,000, but the bulls are likely to remain active.
Bitcoin Price is Showing Positive Signs
There were mostly bullish moves in bitcoin price above the $50,000 resistance. BTC extended its rally above the $51,000 and $51,500 resistance levels.
During the increase, there was a break above a key contracting triangle with resistance near $51,200 on the hourly chart of the BTC/USD pair. It opened the doors for more gains above $52,000 (as discussed yesterday).
The price traded to a new all-time high near $52,745 before starting a downside correction. It is trading near $52,000 and it is well above the 100 hourly simple moving average. There was a break below the 23.6% Fib retracement level of the recent increase from the $50,773 swing low to $52,744 high.
Source: BTCUSD on TradingView.com
There is also another short-term contracting triangle with resistance near $52,250 on the same chart. If bitcoin price remains stable, there are chances of a fresh increase above the $52,250 and $52,500 levels.
The next major resistance is near the $52,744 high, above which the bulls could aim a break above the $53,000 and $53,200 levels in the near term.
Dips Supported BTC?
If bitcoin fails to clear the triangle resistance, it could correct lower below $52,000. The next support is near the $51,750 level. It is close to the 50% Fib retracement level of the recent increase from the $50,773 swing low to $52,744 high.
The main support is now forming near the $51,500 level, where the bulls are likely to take a stand. Any more losses might lead the price towards the $50,500 support level.
Technical indicators:
Hourly MACD – The MACD is losing momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now well above the 60 level.
Major Support Levels – $51,500, followed by $50,500.
Major Resistance Levels – $52,250, $52,750 and $53,000.
OhNoCrypto
via https://www.ohnocrypto.com
Aayush Jindal, @KhareemSudlow
