Key Takeaways:
- Bitcoin price is consolidating gains below the $70,000 resistance.
- BTC/USD is still inside a key contracting triangle with resistance at $68,850 on the weekly chart.
- The price could gain bullish momentum if it clears $68,800 and $69,500.
NEW DELHI (CoinChapter.com) — The Bitcoin price is forming a base for a fresh rally above $70,000. If the bulls fail to protect the $56,500 support, gains could reverse.
Bitcoin Price Faces Key Hurdle At $70,000
In the last technical analysis, Bitcoins saw a decent increase above the $62,500 resistance zone. The bulls were able to push the price above the $65,500 resistance zone, pushing altcoins such as Ethereum and XRP higher.
BTC even surpassed the $68,000 resistance zone and the 50-week simple moving average (blue). However, the bears were active below the $70,000 resistance zone. A high was formed at $69,529 and the price is now correcting some gains.
There was a minor decline below the $69,000 and $68,800 levels. Bitcoin price dipped below the 23.6% Fib retracement level of the upward move from the $53,219 swing low to the $69,529 high.
The bulls are now active above the $62,000 support zone. The price is still inside a key contracting triangle with resistance at $68,850 on the weekly chart. On the upside, the price is facing resistance near the $66,200 level. The first major resistance is near the $67,500 level.
The main resistance is now forming near the triangle and $68,500. A close above the $68,850 resistance could initiate a steady increase. In the stated case, the bulls could aim for a move above the $70,000 resistance. The next major hurdle sits at $71,200, above which the price could aim for a new all-time high or even $75,000.
Downside Break In BTC?
Conversely, Bitcoin price might continue to move down. Immediate support on the downside is near the $63,500 level. The first major support is near the $61,500 level and the 50% Fib retracement level of the upward move from the $53,219 swing low to the $69,529 high.
The next major support sits at the triangle trend line at $60,500. The main support sits near the $56,500 level. A weekly close below the triangle support and then a clear move below $56,500 could signal a bearish bias.
In the stated case, the price could dive and test the $52,500 level. Any more losses might BTC toward the 50-week simple moving average (blue) at $49,500.
Overall, Bitcoin is consolidating gains above the $60,000 zone. It could start a fresh surge above the $70,000 resistance unless the bears push it below $56,500 in the coming days.
The post Bitcoin Set for a Fresh Surge: Can It Lead the Market Again? appeared first on CoinChapter.
