After speculation surrounding a potential spot ETF being listed on DTCC, the price of Bitcoin has surged over 15% to approach the $35,000 resistance level. However, analysts are divided on whether this bullish momentum will continue or if a short-term correction is imminent. In this article, we will analyze the current market conditions and explore the potential scenarios for Bitcoin’s price movement in the near future.
Bitcoin experienced a significant increase after breaking the $32,000 resistance zone. The cryptocurrency reached a new multi-week high near $35,225 before entering a consolidation phase. Currently, Bitcoin is trading well above the 23.6% Fib retracement level, indicating sustained bullish momentum. Moreover, it is also trading above the 100 hourly Simple Moving Average, which further supports the positive sentiment.
On the upside, immediate resistance can be seen near the $34,800 level, followed by a key resistance at $35,250. If Bitcoin manages to surpass these levels, there is a possibility of it reaching the $36,200 resistance and potentially even higher levels at $37,000 and $38,000 in the coming days. However, failure to rise above the $34,800 resistance zone might trigger a downside correction.
If a correction takes place, Bitcoin has immediate support at the $34,120 level. A more significant support level can be found near $32,800, along with a connecting bullish trend line. It is crucial to monitor whether the price remains above this trend line, as a move below it might result in a decline towards the $31,500 level.
The Hourly MACD for BTC/USD is currently gaining momentum in the bullish zone, indicating a positive trend. Additionally, the Hourly RSI (Relative Strength Index) is above the 50 level, further supporting the bullish sentiment.
Bitcoin’s recent surge near the $35,000 resistance level has garnered significant attention from market participants. While some believe that a short-term correction may be due, others anticipate a continuation of the upward trend. The current market conditions, including Bitcoin’s position above key support levels and the strong technical indicators, suggest that further gains may be possible. Traders and investors must closely monitor Bitcoin’s price action to make informed decisions based on the evolving market dynamics.