Bitcoin Price At Key Juncture, What Could Trigger Strong Increase

2023-05-23 03:06:16

Bitcoin price is slowly moving higher above $27,000. BTC could start a strong increase if it clears the $27,200 resistance zone.

Bitcoin is attempting a fresh increase above the $27,000 level.
The price is trading above $27,000 and the 100 hourly Simple moving average.
There is a crucial bearish trend line forming with resistance near $27,150 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could start a major increase if it clears the $27,200 and $27,400 resistance levels.

Bitcoin Price Eyes Upside Break

Bitcoin price remained well-bid above the $26,500 level. BTC formed a base and started a recovery wave above the $26,850 resistance zone.

There was a move above the 50% Fib retracement level of the downward move from the $27,269 swing high to the $26,536 low. Bitcoin price is now trading above $27,000 and the 100 hourly Simple moving average. It is also showing a few positive signs above the $27,000 level.

Immediate resistance on the upside is near the $27,100 level. It is close to the 76.4% Fib retracement level of the downward move from the $27,269 swing high to the $26,536 low.

The next major resistance is near the $27,150 level. There is also a crucial bearish trend line forming with resistance near $27,150 on the hourly chart of the BTC/USD pair. A close above the trend line might send the price toward the $27,400 resistance zone.

Source: BTCUSD on TradingView.com

The next key resistance is near $27,550, above which the price might start a strong increase toward the $28,000 resistance. Any more gains might send the price toward the $28,500 level.

Fresh Decline in BTC?

If Bitcoin’s price fails to clear the $27,150 resistance, it could start another decline. Immediate support on the downside is near the $26,900 level and the 100 hourly Simple moving average.

The next major support is near the $26,550 zone, below which the price might revisit the $26,350 support. In the stated case, there is a risk of a move toward the $25,800 level. Any more losses might take Bitcoin toward the $25,500 level in the near term.

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 – $26,900, followed by $26,550.

Major Resistance Levels – $27,150, $27,400, and $27,550.

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