BTC Needs To Stay Above the 100 Hourly SMA to Start a Fresh ...
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BTC Needs To Stay Above the 100 Hourly SMA to Start a Fresh Rally

After a strong rally in the previous sessions, the BTC/USD pair started consolidating gains below the $11,250 resistance. The BTC price corrected lower a couple of times, but it remained well bid above the $10,700 support level. It seems like the bulls are protecting the upward move above $10,700 and the 100 hourly simple moving average (SMA). 

A recent low was formed close to $10,828 before the price started correcting higher. The recovery wave was such that BTC surpassed the $11,000 resistance, plus the 50% Fib retracement level of the recent downtrend from the $11,348 high to $10,828 low. Nonetheless, the BTC price seems to be struggling to settle above the $11,200 and $11,250 resistance levels. 

Notably, there is also a crucial contracting triangle forming on the hourly chart of the BTC/USD pair, with resistance near $11,240. The hourly MACD for the pair is slowly moving back into the bearish zone. Its hourly RSI (Relative Strength Index) is now below the 50 level, with a bearish angle.

The triangle resistance is near the 76.4% Fib retracement level of the recent downtrend from the $11,348 high to $10,828 low. To begin any decent rally, there should be a successful close above the $11,250 resistance. The next major resistance is near the $11,350 and $11,400 levels, above which the bulls are likely to aim a strong upside above the $11,500 resistance level in the near term.

Conversely, the triangle support is close to the $10,850 level and the 100 hourly SMA, acting to prevent more losses. A downside break below the $10,850 support could pave way for a massive decline in the coming sessions. Meanwhile, the main support is near the $10,700 level, below which the bulls are likely to lose control. In the mentioned bearish case, the price may probably start a massive downside correction towards the $10,500 level.

coinmag

Dacosta Osei-Tutu, a first degree holder in Nursing, who couples his Nursing career with blockchain blogging, has a great passion for the blockchain technology and aims to play a vital role in applying this revolutionary technology to disrupt the healthcare system in Africa.