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Bitcoin price could rise again but 100 SMA is key

Bitcoin price is attempting a fresh increase from the $27,200 support. BTC needs to clear $28,000 to start a decent near-term surge.

  • Bitcoin extended its decline below the $28,000 support zone.
  • The price is trading below $28,000 and the 100 hourly simple moving average.
  • There was a break above a key bearish trend line with resistance near $27,500 on the hourly chart of the BTC/USD pair (data feed by Kraken).
  • The pair could start a steady climb if there is a close above the 100 hourly SMA.

Bitcoin price finds support

Bitcoin price remained in a bearish zone below the $30,000 zone. BTC extended its decline and traded below the $28,000 support. Finally, it tested the $27,200 support.

A low is forming near $27,146 and the price is now consolidating its losses. There was a small recovery wave above the $27,500 level. Also, there was a break above a key bearish trend line with resistance near $27,500 on the hourly chart of the BTC/USD pair.

Bitcoin price is now trading below $28,000 and the 100 hourly simple moving average. It is testing the 23.6% Fib retracement level of the downmove from the $30,460 high to $27,146 low.

Immediate resistance is near $28,000. A close above the $28,000 resistance and the 100 hourly SMA could start a decent climb. The first major resistance is forming near $28,500. The next major resistance is near the $28,800 zone.

Source: BTCUSD on TradingView.com

It is close to the 50% Fib retracement level of the move down from the $30,460 high to $27,146 low. A move above the $28,800 resistance might require a decent climb. In that case, the price could perhaps return to the $29,500 zone. Further gains could open the doors for a $30,000 test.

BTC falling again?

If bitcoin price fails to clear the $28,000 resistance, it could continue lower. Immediate support on the downside is near $27,400.

The next major support is near the $27,200 zone. A downside break and a close below the $27,200 support could push the price towards the $26,800 support. Further losses could propel Bitcoin towards $26,500.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.

Key support levels – $27,400 followed by $27,200.

Major resistance levels – $28,000, $28,500 and $28,800.

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