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Bitcoin Price Attempts To Follow XRP But This Resistance Is The Key
Bitcoin price started a fresh increase after XRP’s massive rally. BTC is trading above $31,400 and might rally if there is a close above $32,000.
Bitcoin Price Starts Fresh Increase
Bitcoin price was able to clear the $30,500 resistance zone. BTC started a fresh increase after a court ruling in favor of Ripple, stating XRP is not a security. There was a break above the $30,650 resistance.
Besides, there was a break above a key contracting triangle with resistance near $30,700 on the hourly chart of the BTC/USD pair. The pair even climbed above the $31,400 resistance zone. A high is formed near $31,790 and the price is now consolidating gains.
It is trading near the 23.6% Fib retracement level of the recent increase from the $30,217 swing low to the $31,790 high. Bitcoin is now trading above $31,000 and the 100 hourly Simple moving average.
Source: BTCUSD on TradingView.com
Immediate resistance is near the $31,600 level. The first major resistance is near $31,800, above which the price could gain bullish momentum. In the stated case, BTC might rise toward the $32,000 resistance. The next major resistance is near the $32,500 level. Any more gains could open the doors for a move toward the $33,200 resistance zone.
Are Dips Supported in BTC?
If Bitcoin fails to clear the $31,800 resistance, it could start a downside correction. Immediate support on the downside is near the $31,200 level.
The next major support is near the $31,000 level or the 50% Fib retracement level of the recent increase from the $30,217 swing low to the $31,790 high, below which there could be a drop toward the $30,800 support zone. Any more losses might send the price toward the $30,550 level in the near term.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major Support Levels – $31,200, followed by $31,000.
Major Resistance Levels – $31,650, $31,800, and $32,000.