Bitcoin Price Stabilizes After Surge — Is It Gearing Up for Another Leg Up?

Bitcoin price is moving higher above the $93,200 zone. BTC is consolidating gains and might continue higher above the $94,000 zone in the near term.

• Bitcoin started a decent upward move above the $91,500 and $92,500 levels.

• The price is trading above $91,500 and the 100 hourly Simple moving average.

• There is a connecting bullish trend line forming with support at $92,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).

• The pair could start another increase if it clears the $94,650 zone.

Bitcoin Price Consolidates Gains

Bitcoin price remained stable above the $88,000 level and started a fresh increase. BTC was able to climb above the $90,000 and $91,500 resistance levels.

The bulls were able to pump the price above the $92,500 resistance. It even spiked and tested the $94,650 resistance zone. A high was formed near $94,635 and the price recently consolidated gains. There was a minor decline below the 23.6% Fib retracement level of the upward move from the $86,400 swing low to the $94,635 high.

Bitcoin price is now trading above $92,500 and the 100 hourly Simple moving average. There is also a connecting bullish trend line forming with support at $92,000 on the hourly chart of the BTC/USD pair.

On the upside, immediate resistance is near the $94,000 level. The first key resistance is near the $94,200 level. The next key resistance could be $94,650. A close above the $94,650 resistance might send the price further higher. In the stated case, the price could rise and test the $95,500 resistance level. Any more gains might send the price toward the $96,200 level.

Downside Correction In BTC?

If Bitcoin fails to rise above the $94,000 resistance zone, it could start a downside correction. Immediate support on the downside is near the $93,000 level. The first major support is near the $92,000 level and the trend line.

The next support is now near the $90,500 zone, the trend line, and the 50% Fib retracement level of the upward move from the $86,400 swing low to the $94,635 high. Any more losses might send the price toward the $90,000 support in the near term. The main support sits at $88,800.

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 – $93,000, followed by $92,000.

• Major Resistance Levels – $94,000 and $94,650.