Bitcoin Price Consolidates And Signals Potential Surge To $40,000

Bitcoin

Bitcoin price is correcting gains from the $38,000 zone. BTC is now consolidating and might aim for more upsides above the $37,250 resistance zone.

Bitcoin Price Remains In Uptrend

Bitcoin price started a fresh increase above the $36,800 resistance zone. BTC gained pace for a clear move above the $37,000 resistance zone to move further into a positive zone.

It even rallied toward $38,000 before there was a downside correction to $35,850. Recently, there was a fresh increase above the $37,250 level, but the bears were active near $37,500. A high is formed near $37,500 and the price is now consolidating gains.

There was a drop below the $37,250 level. The price tested the 50% Fib retracement level of the upward move from the $35,891 swing low to the $37,500 high.

Bitcoin is now trading near $37,000 and the 100 hourly Simple moving average. On the upside, immediate resistance is near the $37,200 level. There is also a short-term declining channel forming with resistance near $37,250 on the hourly chart of the BTC/USD pair.

Source: BTCUSD on TradingView.com

The next key resistance could be near $37,500, above which the price might accelerate further higher. In the stated case, it could test the $38,000 level. Any more gains might send BTC toward the $38,800 level.

More Downsides In BTC?

If Bitcoin fails to rise above the $37,250 resistance zone, it could continue to move down. Immediate support on the downside is near the $36,700 level.

The next major support is near the $36,500 zone or the 61.8% Fib retracement level of the upward move from the $35,891 swing low to the $37,500 high. If there is a move below $36,500, there is a risk of more downsides. In the stated case, the price could drop toward the key support at $36,000 in the near term.

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 below the 50 level.

Major Support Levels – $36,700, followed by $36,500.

Major Resistance Levels – $37,250, $37,500, and $38,000.

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