NewsBTC recently reported a slight dip in Bitcoin’s value following a surge to an unprecedented high of $123,200. The cryptocurrency is now consolidating below the $120,000 mark, possibly gearing up for a new upswing.
Bitcoin experienced a minor setback from its record peak near $123,200. The value slipped below $119,500 and the 100 hourly Simple Moving Average. However, a rising channel is noted, with support at $118,200 on the hourly chart of the BTC/USD pair (data sourced from Kraken). A potential upswing could be on the horizon if Bitcoin can overcome the $120,000 resistance zone.
Bitcoin began a slight downward correction after hitting the all-time high of $123,200. BTC fell below the $122,000 and $120,000 support levels, entering a brief bearish phase. However, the fall was tempered, and support was discovered near the $115,800 zone, preventing a dip below $118,000.
The cryptocurrency held steady above the 50% Fib retracement level of its ascent from the $108,636 low to the $123,140 high. As of now, Bitcoin is trading below $119,500 with a rising channel forming at $118,200 support on its hourly chart. The immediate resistance stands at the $119,200 level, with crucial resistance at the $119,500 and $120,000 levels.
Should the $120,000 resistance be broken, Bitcoin might see another rise. In this scenario, the cryptocurrency could test the $121,200 resistance level, and further gains could take it to $122,000, with the main target being its previous high of $123,200.
However, if Bitcoin fails to break the $120,000 resistance, it could continue its downward trend. Immediate support is situated at the $118,200 level and within the channel. The first significant support is near the $116,500 level, with the next support at the $115,500 zone. Further losses might take the value down to $113,500, and the main support is at $110,500, below which Bitcoin might continue its downward trajectory.
Technical indicators:
Hourly MACD – The MACD indicates a slowing momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently below the 50 level.
Major Support Levels – $118,200, followed by $115,500.
Major Resistance Levels – $120,000 and $122,000.
