Yesterday, the BTC price saw a sharp increase above the main $9,500 resistance. Moreover, the price rallied above the $9,700 level and settled above the 100 hourly simple moving average (SMA). It traded to a new weekly high near $9,780 before it started a downside correction. The $9,700 support level was broken to move the price into a short term correction phase. However, the $9,570 level acted as strong support and the price remained well above the $9,500 area.
A recent low is formed close to $9,570 and the price is currently rising. There was a break above the 23.6% Fib retracement level of the recent drop from the $9,781 high to $9,570 low. Notably, there was a break above a key contracting triangle on the BTC/USD hourly chart, with resistance near $9,640.
The current technical structure suggests that the BTC price could continue to rise above $9,700 soon. The hourly MACD for the pair is about to move back into the bullish zone. Its hourly RSI (Relative Strength Index) is now well above the 50 level.
On the upside, an immediate resistance is seen close to the $9,675 level. It is near the 50% Fib retracement level of the recent drop from the $9,781 high to $9,570 low. If the bulls gain momentum above $9,670 and $9,700, they are likely to push the price above the $9,780 high in the near term. Their next target may perhaps be the $10,000 or $10,200 levels.
On the other hand, BTC is likely to find a strong buying interest near the $9,600 level. If there is a daily close below the $9,500 support, the price could continue its downward move. The next major support on the downside is seen near the $9,500 level. If there is a clear break below the $9,500 level, the 100 hourly SMA at $9,450 is likely to prevent further decline.