Bitcoin Steadies Above $42K, What Could Spark More Upsides

Bitcoin started a steady increase above the $42,000 resistance against the US Dollar. BTC tested the $43,400 zone and recently corrected lower.

Bitcoin started a downside correction after a test of $43,400.
The price is trading above $42,000 and the 100 hourly simple moving average.
There is a key bullish trend line forming with support near $41,950 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair must stay above the $41,500 support zone to remain in a positive zone.

Bitcoin Price Remains In Uptrend
Bitcoin price started a steady increase after it cleared the $42,000 resistance zone. BTC gained pace for a move above the $42,500 level and settled above the 100 hourly simple moving average.
The upward move was such that the price even broke the $43,200 resistance. It traded as high as $43,402 and is currently correcting lower. There was a move below the 23.6% Fib retracement level of the recent increase from the $40,510 swing low to $43,402 high.
However, the bulls are defending the $42,000 support zone. There is also a key bullish trend line forming with support near $41,950 on the hourly chart of the BTC/USD pair. The trend line is close to the 50% Fib retracement level of the recent increase from the $40,510 swing low to $43,402 high.
On the upside, the price is facing resistance near the $42,800 level. The next major resistance could be near the $43,000 zone. A successful break and close above the $43,000 level might start another steady increase.

Source: BTCUSD on TradingView.com
In the stated case, the price might rise towards the $43,500 level. Any more gains could send the price towards the $44,200 level in the coming sessions.
Downside Break in BTC?
If bitcoin fails to clear the $43,000 resistance zone, it could correct further lower. An immediate support on the downside is near the $42,000 zone.
The next major support is seen near the trend line and the 100 hourly SMA. The main support sits near the $41,500 zone (the previous breakout zone). A downside break below the $41,500 support zone could push the price further lower towards $40,500.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major Support Levels – $42,000, followed by $41,500.
Major Resistance Levels – $42,800, $43,000 and $43,500.

Avatar

Related Articles

- Advertisement -

Latest Articles

bitcoin
Bitcoin (BTC) $ 16,806.72
ethereum
Ethereum (ETH) $ 1,231.78
tether
Tether (USDT) $ 1.00
bnb
BNB (BNB) $ 283.12
usd-coin
USD Coin (USDC) $ 1.00
binance-usd
Binance USD (BUSD) $ 1.00
xrp
XRP (XRP) $ 0.383332
dogecoin
Dogecoin (DOGE) $ 0.095728
cardano
Cardano (ADA) $ 0.309031
matic-network
Polygon (MATIC) $ 0.887520
polkadot
Polkadot (DOT) $ 5.27
staked-ether
Lido Staked Ether (STETH) $ 1,216.92
litecoin
Litecoin (LTC) $ 76.92
shiba-inu
Shiba Inu (SHIB) $ 0.000009
okb
OKB (OKB) $ 20.89
dai
Dai (DAI) $ 1.00
solana
Solana (SOL) $ 13.60
tron
TRON (TRX) $ 0.053238
uniswap
Uniswap (UNI) $ 5.98
avalanche-2
Avalanche (AVAX) $ 13.18
leo-token
LEO Token (LEO) $ 3.78
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 16,811.20
chainlink
Chainlink (LINK) $ 6.82
cosmos
Cosmos Hub (ATOM) $ 9.58
the-open-network
The Open Network (TON) $ 1.85
ethereum-classic
Ethereum Classic (ETC) $ 18.75
monero
Monero (XMR) $ 141.71
stellar
Stellar (XLM) $ 0.084385
bitcoin-cash
Bitcoin Cash (BCH) $ 109.18
quant-network
Quant (QNT) $ 116.01
crypto-com-chain
Cronos (CRO) $ 0.064370
algorand
Algorand (ALGO) $ 0.221774
filecoin
Filecoin (FIL) $ 4.34
near
NEAR Protocol (NEAR) $ 1.70
apecoin
ApeCoin (APE) $ 3.88
vechain
VeChain (VET) $ 0.018741
hedera-hashgraph
Hedera (HBAR) $ 0.046990
internet-computer
Internet Computer (ICP) $ 4.18
eos
EOS (EOS) $ 1.00
flow
Flow (FLOW) $ 1.04
elrond-erd-2
MultiversX (Elrond) (EGLD) $ 43.69
frax
Frax (FRAX) $ 1.00
trust-wallet-token
Trust Wallet (TWT) $ 2.44
terra-luna
Terra Luna Classic (LUNC) $ 0.000166
axie-infinity
Axie Infinity (AXS) $ 8.66
the-sandbox
The Sandbox (SAND) $ 0.581108
tezos
Tezos (XTZ) $ 0.992625
theta-token
Theta Network (THETA) $ 0.873222
aave
Aave (AAVE) $ 60.96
huobi-token
Huobi (HT) $ 6.33