Bitcoin Price Coiling Up — Is a Surge Past $110K on Deck?

Bitcoin price started a fresh increase above the $107,500 zone. BTC is now consolidating and might struggle to continue higher above the $110,000 resistance.

• Bitcoin started a fresh increase above the $108,500 zone.
• The price is trading above $108,000 and the 100 hourly Simple moving average.
• There is a short-term rising channel forming with support at $109,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair could start a fresh increase if it stays above the $107,850 zone.

Bitcoin Price Consolidates Gains

Bitcoin price started a fresh increase after it settled above the $105,500 resistance. BTC cleared many hurdles near $107,000 to start a decent increase.

The bulls pushed the price in a positive zone above the $108,000 level. The price even spiked above the $110,000 level before the bears appeared. A high was formed near $110,578 and the price is now consolidating gains near the 23.6% Fib retracement level of the upward move from the $105,116 swing low to the $110,578 high.

Bitcoin is now trading above $108,000 and the 100 hourly Simple moving average. Besides, there is a short-term rising channel forming with support at $109,500 on the hourly chart of the BTC/USD pair.

On the upside, immediate resistance is near the $110,000 level. The first key resistance is near the $110,500 level. A close above the $110,500 resistance might send the price further higher. In the stated case, the price could rise and test the $112,000 resistance level. Any more gains might send the price toward the $113,200 level.

Downside Correction In BTC?

If Bitcoin fails to rise above the $110,000 resistance zone, it could start another decline. Immediate support is near the $109,500 level and the channel’s trend line. The first major support is near the $108,800 level.

The next support is now near the $107,850 zone and the 50% Fib retracement level of the upward move from the $105,116 swing low to the $110,578 high. Any more losses might send the price toward the $106,400 support in the near term. The main support sits at $105,000, below which BTC might continue to move down.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.

Major Support Levels – $108,800, followed by $107,850.

Major Resistance Levels – $110,000 and $110,500.

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