Bitcoin Price Sees Another Significant Upward Break Above $41.5K

Bitcoin started another surge above the $40,000 resistance against the US dollar. BTC remains supported and it could rise above the $41,500 resistance again.

Bitcoin has regained the $40,000 level and could continue to climb. The price is trading above $40,200 and the 100 hourly simple moving average. A major bullish trendline is forming with support near $39,850 on the hourly chart of the BTC/USD pair (Kraken data feed). The pair could correct lower, but the bulls could remain active near the $40,000 zone.

Bitcoin price remains high

Bitcoin price spiked to the $41,500 level before facing sellers. BTC reacted to the downside and even plunged below the $40,000 level.

However, the bulls were active near the $39,000 zone and the 100 hourly moving average. A major bullish trendline is also forming with support near $39,850 on the hourly chart of the BTC/USD pair. A low was formed near USD 39,300 and the price has started rising again. There was a definite move above the $40,000 resistance zone.

Bitcoin even climbed above the $40,800 level. It is now consolidating near the $41,000 resistance zone. There was a test of the 23.6% Fib retracement level of the upward move from the $39,308 swing low to $41,470 high.

Source: BTCUSD on TradingView.com

On the upside, the price is facing resistance near the USD 41,200 level. The next major resistance could be near the recent high of $41,600. A clear move above the USD 41,600 level could open the doors for another rally. In the said case, the price may rise to the $42,500 level. More gains could send the price towards the $43,200 level in the near term.

Dips supported in BTC?

If bitcoin fails to clear the $41,600 resistance zone, it could trigger a downside correction. An immediate support on the downside is near the $40,500 zone.

The next major support is seen near the USD 40,300 level. It is near the 50% Fib retracement level of the upward move from the $39,308 swing low to $41,470 high. The main support is still near the $40,000 zone, below which the price could test $39,000.

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 well above the 50 level.

Key Support Levels – $40,500, followed by $40,000.

Major resistance levels – $41,200, $41,600 and $42,500.

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