Bitcoin Price Battles to Extend Gains: Will It Clear $58K?

11 September 2024

Bitcoin price started a decent increase above the $56,500 resistance. BTC is now struggling to clear the $58,000 resistance and is consolidating gains.

Bitcoin is attempting a fresh increase from the $52,500 support zone.
The price is trading above $56,500 and the 100 hourly Simple moving average.
There is a connecting bullish trend line forming with support at $56,800 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could gain pace if it clears the $58,000 and $58,200 resistance levels in the near term.

Bitcoin Price Faces Resistance

Bitcoin price started a decent increase after it broke the $55,000 resistance zone. BTC was able to climb above the $56,500 resistance. The price even spiked above the $58,000 resistance zone.

The recent swing high was formed at $58,000 and the price is now consolidating gains. There was a minor decline below the $57,000 level. The price dipped below the 23.6% Fib retracement level of the upward move from the $53,643 swing low to the $58,000 high.

Bitcoin is now trading above $56,500 and the 100 hourly Simple moving average. There is also a connecting bullish trend line forming with support at $56,800 on the hourly chart of the BTC/USD pair.

On the upside, the price could face resistance near the $57,500 level. The first key resistance is near the $58,000 level. A clear move above the $58,000 resistance might start a steady increase in the coming sessions. The next key resistance could be $58,800. A close above the $58,800 resistance might spark more upsides. In the stated case, the price could rise and test the $60,000 resistance.

Another Decline In BTC?

If Bitcoin fails to rise above the $57,500 resistance zone, it could start another decline. Immediate support on the downside is near the $56,800 level and the trend line.

The first major support is $55,300 or the 61.8% Fib retracement level of the upward move from the $53,643 swing low to the $58,000 high. The next support is now near the $54,200 zone. Any more losses might send the price toward the $53,500 support 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 below the 50 level.

Major Support Levels – $56,800, followed by $55,300.

Major Resistance Levels – $57,500, and $58,000.

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