Bitcoin Price Showing New Strength—Could This Ignite a Quick Rally?

Bitcoin price has recently begun a solid increase, surpassing $92,000. BTC is now consolidating its gains and may aim for further growth if it successfully breaks through the $93,400 level.

Key Takeaways

Bitcoin has initiated a recovery, moving above the $92,000 mark.
A bullish trend line is forming, providing support around $91,500.
If BTC settles above $93,400, it may continue to rise.
Significant resistance levels are identified at $93,200 and $94,000.
Major support levels include $92,000 and $91,500, with the possibility of further declines if these are breached.

Bitcoin Price Shows Fresh Strength

Bitcoin Holds Support

The price of Bitcoin is holding firm above the $91,000 level, initiating a fresh upward trend. BTC increased significantly, climbing above both the $92,500 and $94,000 thresholds. However, selling pressure emerged around the $94,500 neighborhood, with a peak reaching $94,583 before a slight correction. The price fell toward the 50% Fibonacci retracement level of the upward movement from $89,545 to $94,583.

Despite this pullback, the bullish activity continued near the $92,000 support level. At present, Bitcoin trades just below $92,000 and the 100-hour simple moving average, with a bullish trend line forming support at $91,500 on the hourly chart of the BTC/USD pair.

Bitcoin Price
Source: BTCUSD on TradingView.com

If the bullish trend persists, Bitcoin may make another attempt to climb. Immediate resistance is observed close to the $92,800 mark, with significant resistance at $93,200 and $94,000. A successful close above the $94,000 level could propel the price higher, testing the resistance at $94,500. Continued gains might drive the price toward $95,500, with $96,200 and $96,500 posing further challenges for the bulls.

Potential for Additional Losses in BTC?

Should Bitcoin fail to breach the $94,000 resistance, it risks starting another downturn. The immediate support level lies around $92,000, with major support found at $91,500 and at the 61.8% Fibonacci retracement level of the upward move from $89,545 to $94,583.

A further decline could see the price drop towards the $90,750 zone, and losses beyond this point might result in a decline to the $90,000 support level. The main support to watch is at $88,800; falling below this threshold could accelerate a further downward trend for Bitcoin.

Technical Indicators

Hourly MACD: Currently gaining momentum within the bullish zone.
Hourly RSI (Relative Strength Index): Currently above the 50 level for BTC/USD.
Major Support Levels: $92,000 followed by $91,500.
Major Resistance Levels: $93,200 and $94,000.