Credit: Original article published by newsbtc.

Bitcoin price remained stable above the $17,500 support against the US Dollar. BTC is showing bullish signs and a close above $18,200 could start a fresh surge.

  • Bitcoin formed a support base near the $17,380 level and climbed higher.
  • The price is now well above the $17,500 level and the 100 hourly simple moving average.
  • There was a break above a major bearish trend line with resistance near $17,800 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could gain bullish momentum if there is a close above $18,150 and $18,200.

Bitcoin Price is Showing Bullish Signs

There was another drop in bitcoin price below the $17,600 and $17,500 levels. However, BTC remained stable and it seems like there is a strong support base forming near the $17,380 level.

The recent low was near $17,382 before the price started an upward move. It broke the $17,500 and $17,600 levels. There was also a break above the $17,800 level and bitcoin price settled well above the 100 hourly simple moving average.

More importantly, there was a break above a major bearish trend line with resistance near $17,800 on the hourly chart of the BTC/USD pair. The pair even spiked above $18,000, but it struggled to clear the $18,200 resistance.

Source: BTCUSD on TradingView.com

A high is formed near $18,231 and the price is currently consolidating. It corrected below the 23.6% Fib retracement level of the recent upward move from the $17,382 swing low to $18,231 high.  Bitcoin now seems to be following a bullish flag pattern with resistance near the $18,030 level.

A successful break above the $18,030 level could lead the price towards the $18,200 resistance. To start a strong rally, the price must settle nicely above the $18,200 resistance level. In the stated case, the price may perhaps clear the $18,500 resistance and rally towards $19,000.

Dips Supported in BTC?

If bitcoin fails to gain strength, it could test the $17,800 support. The 50% Fib retracement level of the recent upward move from the $17,382 swing low to $18,231 high is also near the $17,800 level.

The first major support sits near the $17,500 level. The main support is now forming near the $17,380 level, below which there is a risk of a larger decline in the coming sessions.

Technical indicators:

Hourly MACD – The MACD is slowly gaining momentum in the bullish zone.

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

Major Support Levels – $17,800, followed by $17,500.

Major Resistance Levels – $18,030, $18,200 and $18,500.

This article is strictly for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. CryptosOnline.com does not provide investment, tax, legal, business or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any loss or damage caused or alleged to be caused by, or in connection with, the use of or reliance on any content, goods, services or opinions mentioned in this article.

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