- Bitcoin price has started a downward correction from the $30,000 zone against the US dollar.
- The price is now trading above $28,000 and the 55 simple moving average (4-hours).
- There is a short-term contracting triangle with support near $28,250 on the 4-hour chart of BTC/USD (Coinbase data feed).
- The pair could begin a further rise if it stays above the $27,750 support zone.
Bitcoin price corrects below $28,750 against the US dollar. BTC could see another increase if the bulls remain active above the $27,750 zone.
Bitcoin Price Analysis
Bitcoin price accelerated after fake news about ETF spot approval and rallied towards the $30,000 Resistance Zone. A high formed near $30,000 before the price began a downward correction. There was a clear move below the $28,800 and $28,650 levels.
The bears managed to push the price towards the 50% Fibonacci retracement level of the upward move from the $26,537 low to $30,000 high. It is now trading above $28,000 and the 55 simple moving average (4 hours).
However, the bulls are now active near the $28,200 support. There is also a short-term contracting triangle with support near $28,250 on the 4-hour chart of the BTC/USD pair. Immediate resistance on the upside is near the $28,600 level.
The next major resistance could be near the $28,800 area. A sharp move above the $28,800 level could push the price towards $29,500, above which the price could rise to the $30,000 level. Any further gains could push the price towards the $32,000 zone.
If there is no upward breakout, the price may continue to decline below the $28,250 level. The first major support is $27,750 or the 61.8% Fibonacci retracement level of the upward move from the $26,537 low to $30,000 high. The next key support is near the $27,350 level, below which the price could accelerate lower.
In the stated case, the price could decline to the $26,500 level. Any further losses could push the price towards the $26,000 level.
Looking at the chart, Bitcoin price is clearly trading above $28,000 and the 55 simple moving average (4-hours). Overall, the price could begin a further rise if it stays above the $27,750 support zone.
Technical indicators
MACD 4 hours – The MACD is now losing momentum in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI is now above the 50 level.
Key support levels – $28,250 and $27,750.
Key resistance levels – $28,600, $28,800 and $30,000.