• Bitcoin price started a fresh increase above the $24,000 zone against the US Dollar.
• There was a break above a crucial bearish trend line with resistance near $21,950 on the 4-hours chart of the BTC/USD pair.
• The bulls gained pace for a move above the $25,000 zone and formed a high near $26,533.
Bitcoin Price Analysis
Bitcoin price started a steady increase from the $20,000 support zone and cleared many hurdles near the $22,500 and $23,500 levels. There was also a break above a crucial bearish trend line with resistance near $21,950 on the 4-hours chart of the BTC/USD pair. The bulls then gained pace for further upside movement above the $25,000 zone and formed a high near $26,533.
An immediate resistance on the upside is seen near the $25,250 level. If there is no clear move past this level then bitcoin price could start to decline below $24,400 and retrace towards its next key support at around $23,000 level which is close to 50% Fibonacci retracement of its upward move from its low of 19$568 to 26$553 high.
The MACD (Moving Average Convergence Divergence) indicator is losing momentum in bullish territory while RSI (Relative Strength Index) is trading slightly higher than 50 indicating that there might be some more upside movement in BTC prices before any downside correction occurs.
On an upside breakout beyond 25$250 level Bitcoin could continue its rally towards first major resistance at 26$000 mark followed by 26$500 mark which if breached could send BTC prices up till 27$800 levels or even 28$000 mark if bulls maintain their strength during this rally phase.
In case of any downside correction due to profit booking or negative news flow traders should watch out for 23$000 as well as 22$000 marks which if broken can lead to further declines in Bitcoin Prices in short term time frame