Bitcoin Price Spikes Higher, But Consolidation Pattern Remains Intact

Bitcoin price started a fresh increase and cleared the $80,500 zone. BTC is consolidating and might aim for more gains above the $82,000 level.

• Bitcoin managed to stay above $78,800 and started a fresh increase.
• The price is trading above $80,500 and the 100 hourly simple moving average.
• There was a break above a bearish trend line with resistance at $80,650 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair might extend gains if it stays above the $80,500 and $80,000 levels.

Bitcoin Price Regains Strength

Bitcoin price found support near $78,800 and started a fresh increase. BTC gained pace for a move above the $79,500 and $80,200 resistance levels.

The bulls even pushed the price above $80,500. There was a break above a bearish trend line with resistance at $80,650 on the hourly chart of the BTC/USD pair. A high was formed at $82,017, and the price started a consolidation phase. There was a minor decline below the 23.6% Fib retracement level of the upward move from the $78,720 swing low to the $82,017 high.

Bitcoin is now trading above $80,500 and the 100 hourly simple moving average. If the price remains stable above $80,500, it could attempt a fresh increase. Immediate resistance is near the $81,500 level.

The first key resistance is near the $82,000 level. A close above the $82,000 resistance might send the price further higher. In the stated case, the price could rise and test the $82,800 resistance. Any more gains might send the price toward the $83,500 level. The next barrier for the bulls could be $85,000.

Downside Correction In BTC?

If Bitcoin fails to rise above the $82,000 resistance zone, it could start another decline. Immediate support is near the $80,750 level. The first major support is near the $80,350 level or the 50% Fib retracement level of the upward move from the $78,720 swing low to the $82,017 high.

The next support is now near the $79,980 zone. Any more losses might send the price toward the $79,200 support in the near term. The main support now sits at $78,800, below which BTC might struggle to recover 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 above the 50 level.

Major Support Levels – $80,750, followed by $80,350.

Major Resistance Levels – $82,000 and $82,800.