How Bitcoin Price Could Setup A Strong Surge Above $19.5K

Bitcoin price started a steady recovery from the $18,580 swing low against the US Dollar. BTC is currently attempting an upside break and it could rally above $19,500.

  • Bitcoin is rising steadily above the $18,800 and $19,000 resistance levels.
  • The price is now trading nicely above the $19,000 resistance and the 100 simple moving average (4-hours).
  • There is a key contracting triangle forming with resistance near $19,200 on the 4-hours chart of the BTC/USD pair (data feed from Kraken).
  • The pair could start a strong surge if there is a close above $19,200 and $19,300.

Bitcoin Price is Attempting Upside Break

This past week, bitcoin saw a couple of swing moves from the $19,500 resistance against the US Dollar. The BTC/USD pair even broke the $19,000 support, but it remained well bid above the 100 simple moving average (4-hours).

The recent swing low was formed near $18,581 before the price started a decent upward move. There was a break above the $18,800 resistance level. The price even moved above the 50% Fib retracement level of the downward move from the $19,575 swing high to $18,581 swing low.

Bitcoin price is now trading nicely above the $19,000 resistance and the 100 simple moving average (4-hours). It is facing a strong resistance near the $19,200 level. There is also a key contracting triangle forming with resistance near $19,200 on the 4-hours chart of the BTC/USD pair.

Bitcoin Price

The triangle resistance is close to the 61.8% Fib retracement level of the downward move from the $19,575 swing high to $18,581 swing low.

A successful break and close above the triangle resistance could start a strong surge above the $19,300 and $19,400 levels. The next key resistance is near $19,500, above which the bulls might aim $20,000.

Another Drop in BTC?

If bitcoin fails to clear the $19,200 and $19,300 resistance levels, it could start a fresh decline. An initial support is near the $19,000 level.

The first key support is near the triangle lower trend line at $18,800. The next major support is near the $18,500 level and the 100 simple moving average (4-hours), below which there could be a sharp decline.

Technical indicators

4 hours MACD – The MACD for BTC/USD is slowly gaining momentum in the bullish zone.

4 hours RSI (Relative Strength Index) – The RSI for BTC/USD is rising and it is above the 50 level.

Major Support Level – $18,800

Major Resistance Level – $19,200



from NewsBTC https://www.newsbtc.com/analysis/btc/bitcoin-price-could-surge-above-19-5k/

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