Bitcoin Resumes Rally, Why BTC Could Accelerate Above $40K

Bitcoin price found support near $36,400 and it started a fresh increase against the US Dollar. BTC is showing positive signs and it could rally further above $40,000.

Bitcoin remained well bid above the $36,400 and $36,500 support levels.
The price is now trading well above $37,000 and the 100 hourly simple moving average.
There is a crucial bullish trend line forming with support near $36,800 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair is likely to gain bullish momentum above the $40,000 resistance zone in the near term.

Bitcoin Price Gains Pace
Bitcoin price corrected lower from the $40,000 resistance zone. BTC declined below the $38,000 support level, but it remained well above the 100 hourly simple moving average.
The bulls were active near the $36,400 and $36,500 support levels. A low was formed near $36,403 and the price is now rising. It broke the $37,000 and $38,000 levels. There was a clear break above the 50% Fib retracement level of the downward move from the $40,520 swing high to $36,400 swing low.
It is now trading well above $37,000 and the 100 hourly simple moving average. Bitcoin seems to be positioned nicely above the 76.4% Fib retracement level of the downward move from the $40,520 swing high to $36,400 swing low.

Source: BTCUSD on TradingView.com
There is also a crucial bullish trend line forming with support near $36,800 on the hourly chart of the BTC/USD pair. On the upside, an initial resistance is near the $40,000 level. The first major resistance is near the $40,500 level. A successful break and close above the $40,500 level could spark a steady increase towards the $42,000 level in the near term.
Dip Limited in BTC?
If bitcoin fails to climb above the $40,000 and $40,500 resistance levels, it could start another downside correction. An initial support on the downside is near the $39,200 level.
The first major support is now near the $38,800 zone. A clear downside break below the $38,800 support might call for a move towards the $37,500 level. The next major support is near the $37,000 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 well above the 50 level.
Major Support Levels – $39,200, followed by $38,800.
Major Resistance Levels – $40,000, $40,500 and $42,000.

Avatar

Related Articles

- Advertisement -

Latest Articles

bitcoin
Bitcoin (BTC) $ 40,865.95
ethereum
Ethereum (ETH) $ 2,219.74
tether
Tether (USDT) $ 1.00
bnb
BNB (BNB) $ 229.97
xrp
XRP (XRP) $ 0.631314
solana
Solana (SOL) $ 64.60
usd-coin
USDC (USDC) $ 1.00
staked-ether
Lido Staked Ether (STETH) $ 2,218.52
cardano
Cardano (ADA) $ 0.405853
dogecoin
Dogecoin (DOGE) $ 0.086753
tron
TRON (TRX) $ 0.103623
chainlink
Chainlink (LINK) $ 15.90
the-open-network
Toncoin (TON) $ 2.44
avalanche-2
Avalanche (AVAX) $ 22.30
matic-network
Polygon (MATIC) $ 0.823464
polkadot
Polkadot (DOT) $ 5.63
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 40,783.93
litecoin
Litecoin (LTC) $ 74.37
dai
Dai (DAI) $ 0.998768
shiba-inu
Shiba Inu (SHIB) $ 0.000009
bitcoin-cash
Bitcoin Cash (BCH) $ 251.66
uniswap
Uniswap (UNI) $ 6.17
okb
OKB (OKB) $ 59.32
stellar
Stellar (XLM) $ 0.123284
leo-token
LEO Token (LEO) $ 3.71
monero
Monero (XMR) $ 173.40
kaspa
Kaspa (KAS) $ 0.143053
true-usd
TrueUSD (TUSD) $ 1.00
ethereum-classic
Ethereum Classic (ETC) $ 20.19
cosmos
Cosmos Hub (ATOM) $ 9.67
crypto-com-chain
Cronos (CRO) $ 0.093521
filecoin
Filecoin (FIL) $ 4.69
lido-dao
Lido DAO (LDO) $ 2.48
internet-computer
Internet Computer (ICP) $ 4.80
thorchain
THORChain (RUNE) $ 7.18
hedera-hashgraph
Hedera (HBAR) $ 0.063182
near
NEAR Protocol (NEAR) $ 2.11
aptos
Aptos (APT) $ 7.47
bittensor
Bittensor (TAO) $ 345.98
immutable-x
Immutable (IMX) $ 1.43
mantle
Mantle (MNT) $ 0.554112
vechain
VeChain (VET) $ 0.023218
binance-usd
BUSD (BUSD) $ 1.00
optimism
Optimism (OP) $ 1.75
aave
Aave (AAVE) $ 101.51
quant-network
Quant (QNT) $ 102.01
injective-protocol
Injective (INJ) $ 17.32
render-token
Render (RNDR) $ 3.83
arbitrum
Arbitrum (ARB) $ 1.12
the-graph
The Graph (GRT) $ 0.152457