Bitcoin price started a downward correction from the USD 35,000 resistance. BTC could start a new increase unless there is a move below $32,800.
- Bitcoin rallied towards the $35,000 resistance before the bears appeared.
- The price is trading above USD 33,200 and the 100 hourly Simple Moving Average.
- A major breakout pattern is forming with resistance near $34,050 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could correct lower towards the $33,000 zone before starting a new rise.
Bitcoin price corrects gains
Bitcoin price rose more than 15% after speculation that spot ETF would be listed on DTCC. BTC rose towards the $35,000 resistance zone before the bears appeared.
A new multi-week high was formed near $35,225. Recently, the price started a downward correction below the USD 34,500 level. There was a move below the 23.6% Fib retracement level of the upward move from the $29,694 swing low to the $35,225 high.
Bitcoin is now trading above $33,200 and the 100 hourly Simple Moving Average. A major breakout pattern is also forming with resistance near $34,050 on the hourly chart of the BTC/USD pair. The triangle support is close to the 50% Fib retracement level of the upward move from the $29,694 swing low to the $35,225 high.
On the upside, immediate resistance is around the $34,050 level. The next major resistance could be near USD 34,800. The main resistance is now forming near the $35,000 zone.
Source: BTCUSD on TradingView.com
A clear move above the USD 35,000 mark could send the price towards the USD 36,200 resistance. The next major resistance could be at USD 37,000. Any further gains could send BTC towards the $38,000 level in the coming days.
Lose more in BTC?
If Bitcoin fails to rise above the USD 34,050 resistance zone, it could continue to decline. The immediate downside support is near the $33,400 level.
The next major support is near the $32,800 level and the triangle trendline. If there is a move below the trendline support, the price might drop towards the $31,500 level in the coming sessions.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major support levels – USD 33,400, followed by USD 32,800.
Major resistance levels – $34,050, $34,800 and $35,000.