Bitcoin Price Signals Fresh Upside Break and Rally
Bitcoin price started a fresh increase from $112,200. BTC is signalling a strong uptrend and could soon rally above the $125,000 zone.
In the last analysis, we saw a downside correction in the Bitcoin price below the $120,000 level. There was a steady decline below the $118,500 and $115,000 levels. Finally, the price tested the $112,200 level. A low was formed at $112,210, and the price recently started a fresh increase.
There was a move above the $115,000 and $116,500 resistance levels. The bulls pushed the price above the $118,000 zone and the 50-day simple moving average (blue). There was a close above the 61.8% Fib retracement level of the downside correction from the $123,120 swing high to the $112,210 low.
Bitcoin settled above a bullish flag pattern on the daily chart, signaling a fresh rally. A new all-time high was formed above $123,500, and BTC is now showing signs of strength above the $123,000 level and the 50-day simple moving average (blue).
On the upside, immediate resistance is near the $124,000 level. The first major resistance is near the $124,250 level. A close above $124,000 and $124,250 might spark more upsides.
In the stated case, the price could attempt a move toward the 1.236 Fib extension level of the downside correction from the $123,120 swing high to the $112,210 low at $125,700. A close above the $125,700 level could send the BTC price toward $128,000 level. Any more gains might call for a test of $130,000.
Are Dips Supported In BTC?
If Bitcoin bulls fail to push the price above $124,250, there could be a pullback. Immediate support is near the $121,200 level. The first major support is near the $120,500 level.
A downside break and close below the $120,500 support might start a major downside correction. In the stated case, Bitcoin could test the $118,000 support. The next key support could be $116,000 and the 50-day simple moving average (blue).
If the bulls fail to protect the $116,000 zone, the price could start a major decline. In the stated case, the price could test the $112,200 support. Any more losses might call for the test of $108,000.
Overall, Bitcoin is showing many bullish signs above $122,000 and the 50-day simple moving average (blue). It seems like the bulls could soon aim for a move above $125,000 in the coming sessions.