After forming a short-term top near $12,080 in the previous session, the BTC/USD pair started a downside correction. The BTC price broke the $11,800 support level and dived more than $500 within a short period of time. Moreover, it traded close to the $11,500 support area, where the bulls intervened.
A recent low was formed close to $11,536 but the price bounced back sharply. It climbed back above the $11,800 resistance level and the 100 hourly simple moving average (SMA). The bulls pushed the price above the 50% Fib retracement level of the recent sharp drop from the $12,084 high to $11,536 low.
Notably, there was a break above a crucial bearish trend line on the hourly chart of the BTC/USD pair, with resistance near $11,880. The BTC price is now approaching the $11,950 and $12,000 levels. The hourly MACD for the pair is slowly moving into the bullish zone. Its hourly RSI (Relative Strength Index) is also currently just above the 50 level.
On the upside, the 76.4% Fib retracement level of the recent sharp drop from the $12,084 high to $11,536 low could act as an immediate resistance. It is also close to the $11,950 level. A clear break above the $11,950 level could pave way for a push above the $12,000 level. The next major resistance is near the $12,080 level, above which the bulls are likely to aim more upsides above the $12,200 and $12,250 levels in the coming sessions.
Conversely, if BTC fails to reclaim the $12,000 resistance, it could correct lower in the short term. A major support seems to be forming close o the $11,700 level and the 100 hourly SMA. If there is a downside break below the $11,700 support and the 100 hourly SMA, BTC could retest the $11,500 support level. Any further gains could lead the price towards $11,200 in the near term.