BTC / USD
66,543.48
1.56%
(-1057.82)
ETH / USD
3,411.86
5.22%
(-188)
XRP / USD
0.62
1.12%
(+0.01)
LTC / USD
83.56
1.56%
(-1.33)
EOS / USD
0.94
6.44%
(-0.06)
BCH / USD
385.46
3.39%
(-13.51)
ADA / USD
0.63
5.29%
(-0.04)
XLM / USD
0.13
1.87%
(-0)
NEO / USD
14.15
6.84%
(-1.04)
XEM / USD
0.04
10.24%
(-0.01)
DASH / USD
33.90
7.18%
(-2.62)
USDT / USD
1.00
0.06%
(0)
BNB / USD
539.10
3.37%
(-18.82)
QTUM / USD
4.12
8.34%
(-0.37)
XVG / USD
0.01
10.77%
(-0)
ONT / USD
0.31
6.31%
(-0.02)
ZEC / USD
26.31
9.2%
(-2.67)
STEEM / USD
0.28
9.68%
(-0.03)

Recovery Just Getting Started or It’s Bull Trap?

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Bitcoin price gained pace and was able to clear $16,500. BTC must settle above $17,000 to start a real recovery in the near term.

  • Bitcoin started an upside correction and climbed above the $16,500 resistance.
  • The price is trading above $16,400 and the 100 hourly simple moving average.
  • There was a break above a major bearish trend line with resistance near $16,220 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could continue to rise if it settles above the $17,000 resistance zone.

Bitcoin Price Recovers

Bitcoin price formed a decent support base above the $15,500 support zone. BTC remained well bid and started an upside correction above the $16,000 resistance.

There was a clear move above the 50% Fib retracement level of the main drop from the $16,795 swing high to $15,470 low. Besides, there was a break above a major bearish trend line with resistance near $16,220 on the hourly chart of the BTC/USD pair.

Bitcoin price is now trading above $16,400 and the 100 hourly simple moving average. It is also well above the 76.4% Fib retracement level of the main drop from the $16,795 swing high to $15,470 low.

On the upside, an immediate resistance is near the $16,800 level. The first major resistance is near the $17,000 zone. A successful daily close above the $17,000 resistance might start a real recovery wave. The next major resistance is near $17,500, above which the price could gain pace for a move towards the $18,000 zone.

Source: BTCUSD on TradingView.com

An intermediate resistance could be $17,650. It is near the 1.618 Fib extension level of the main drop from the $16,795 swing high to $15,470 low.

Fresh Drop in BTC?

If bitcoin fails to settle above the $17,000 resistance zone, it could start another decline. An immediate support on the downside is near the $16,500 level and a connecting bullish trend line on the same chart.

The next major support is near the $16,250 zone and the 100 hourly simple moving average, below which the price might gain bearish momentum. In the stated case, the price might drop towards the $15,500 support zone.

Technical indicators:

Hourly MACD – The MACD is now gaining pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.

Major Support Levels – $16,500, followed by $16,250.

Major Resistance Levels – $16,800, $17,000 and $18,000.

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