Bitcoin price remained well bid above the $45,500 support zone. BTC traded as low as $45,564 and it recently started a fresh increase above the $46,200 resistance level.
There was a break above a connecting bearish trend line with resistance near $46,500 on the hourly chart of the BTC/USD pair. The pair even cleared the 61.8% Fib retracement level of the downward move from the $48,150 swing high to $45,564 low.
The pair is now trading below $47,000 and the 100 hourly simple moving average. It is also above the 76.4% Fib retracement level of the downward move from the $48,150 swing high to $45,564 low.
An immediate resistance on the upside is near the $48,000 level. The next key resistance is near the $48,150 level. The current price action suggests that bitcoin price may soon clear the $48,150 high. In the stated scenario, the price is likely to accelerate higher. The next main resistance could be $50,000.
Dips Limited in BTC?
If bitcoin fails to climb above the $48,000 and $48,150 resistance levels, it could start a downside correction. An initial support on the downside is near the $47,000 level.
The first major support is now near the $46,500 zone. The main support is now forming near the $46,250 level. There is also a major bullish trend line forming with support near $46,250 on the same chart. If the price fails to stay above the trend line support, it could move down towards the $45,500 support level. The next major support is near $44,500.