Bitcoin price rallied more than 4%, and it broke the $ 18,500 level against the US dollar. BTC is currently following an excellent bullish path, but the $ 18,800 level is strong resistance.
Bitcoin rallies and has broken through the critical resistance of $ 18,500.
The price is trading at $ 18500 range and is now above the 100-hour simple moving average.
BTC/USD pair is forming a sizeable upward channel with support around $ 18,280 on the hourly chart. Bulls may face a massive resistance near the $ 18,800 zone.
In the weekly analysis, we saw a new rise in bitcoin price above the $ 18,000 level. BTC continued to rise above the $ 18,200 and $ 18,400 resistance levels.
There was also a break above the $ 18,500 resistance level. The price traded at $ 18,559 and is now above the 100-hour simple moving average. It is currently consolidating gains and is trading near the $ 18,450 level.
An initial support on the downside is near the $ 18,410 level. It is close to the 23.6% Fibonacci retracement level of the recent advance from the swing low of $ 17,950 to the high of $ 18,550.
Moreover, on the BTC / USD pair’s hourly chart, a large upward channel is forming with support around $ 18,270. Channel support is close to the 50% Fibonacci retracement level of the recent advance from a swing low of $ 17,950 to a high of $ 18,550. On the other hand, channel resistance at $ 18,655 is short-term resistance.
The first serious resistance for the bulls lies near the $ 18,810 level. A successful break above the $ 18,810 level could trigger a strong upward move, and Bitcoin could rise above $ 19,000 and even $ 19,200.
Another drop in BTC?
If Bitcoin fails to overcome the breakout resistance at $ 18,800, there is a risk of another decline. An initial support on the downtrend is near the $ 18,250 level or the channel’s lower trendline.
A clear break below the channel support level could lead to a sustained decline to $ 18,000. The next significant support below the $ 18,000 level is near the $ 17,400 level and the 100-hour simple moving average.
The Hourly MACD is currently gaining momentum in a bullish zone. The Hourly RSI for BTC / USD is currently well above the 60 levels with bullish signs. Major Support Levels are $ 18,255 followed by $ 18,000. And Major resistance levels are $ 18,658, $ 18,810 and $ 19,000.
Albert Brown has obtained his master’s degree in Stock Trading And Investing. His specialty is analyzing the price actions of crypto and stock markets. Albert provides a major role in TheCryptoBasic as a crypto analyst. He is also known for his work on Twinkle Magazine and TipRanks.