Bitcoin price extended its rise and tested the resistance at $17,500. BTC has corrected gains, but it remains well supported above the $16,800 support.
- Bitcoin extended its upward move above the $17,100 and $17,300 resistance levels.
- The price is trading near $17,000 and the 100 hourly simple moving average.
- There was a break below a key uptrend line with support near $17,050 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair needs to stay above the $16,800 support to start a fresh rise.
Bitcoin price remains supported
Bitcoin price settled above the $17,000 resistance zone and prolonged its increase. BTC was able to break through the resistance levels of $17,100 and $17,200.
The price even climbed above $17,400 and traded near the $17,500 resistance zone. However, the bears were active near the $17,500 resistance zone. A high was formed near $17,440 and the price began a downward correction.
Bitcoin price fell below the $17,200 level and the 100 hour simple moving average. There was a break below a key uptrend line with support near $17,050 on the hourly chart of the BTC/USD pair.
The price traded as low as $16,888 and is currently on the rise. It is trading near $17,000 and the 100 hourly simple moving average. It is trading above the 23.6% Fib retracement level of the recent decline from the $17,440 high to $16,888 low.
On the upside, an immediate resistance is near the $17,165 level. It is near the 50% Fib retracement level of the recent decline from the $17,440 high to $16,888 low. The first major resistance is seen near the $17,250 area, above which the price could perhaps begin another steady rise.
Source: BTCUSD on TradingView.com
In the indicated case, the price could rise towards the resistance at $17,500. The next major resistance is near $17,650, above which price rises towards the near-term $18,000 area.
More losses in BTC?
If bitcoin fails to start a fresh rise above the $17,165 resistance, there could be more downside. An immediate support on the downside is near the $16,850 level.
The next major support is near the $16,800 area. A break down below the $16,800 support may require a move towards $16,500. Any further losses may require a test of the key near-term $16,000 support area.
Technical indicators:
Hourly MACD – The MACD is now losing momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now just below the 50 level.
Main support levels – $16,800, followed by $16,500.
Main resistance levels – $17,165, $17,250 and $18,000.
