Bitcoin Reclaims 100 SMA, Here’s Why BTC Could Surge above $58K

Bitcoin price started a decent increase above the $56,000 resistance against the US Dollar. BTC is showing positive signs and it could aim a break above $58,000.

Bitcoin formed a support above $54,000 and it recovered above the $56,000 zone.
The price is now trading above the $56,000 level and the 100 hourly simple moving average.
There was a break above a major bearish trend line with resistance near $54,850 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair traded as high as $57,994 and it is now correcting gains.

Bitcoin Price is Showing Positive Signs
Bitcoin remained well bid above the $54,000 support zone. As a result, BTC started a fresh increase above the $55,500 and $56,000 resistance levels.
There was a clear break above a major bearish trend line with resistance near $54,850 on the hourly chart of the BTC/USD pair. The pair even climbed above the $57,000 level and it settled nicely above the 100 hourly simple moving average.
It tested the $58,000 resistance zone and a high is formed near $57,994. The price is now correcting lower and trading below $57,500. It is testing the 23.6% Fib retracement level of the recent wave from the $52,957 swing low to $57,994 high.

Source: BTCUSD on TradingView.com
There is also a declining channel or a bullish flag forming with support near $56,600 on the same chart. The 100 hourly simple moving average is also near the channel support.
On the upside, the price is facing resistance near the channel trend line at $57,600. If there is an upside break above the trend line resistance, bitcoin price could clear the $58,000 resistance. The next key resistance is near the $60,000 level.
Fresh Drop in BTC?
If bitcoin fails to clear the $57,600 resistance or $58,000, it could start a fresh decline. An initial support on the downside is near the $56,600 level and the channel zone.
The first key support is near the $56,250 level, below which the price might test $55,500. It is near the 50% Fib retracement level of the recent wave from the $52,957 swing low to $57,994 high.
Technical indicators:
Hourly MACD – The MACD is showing positive signs and it could gain in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now well above the 50 level.
Major Support Levels – $56,600, followed by $55,500.
Major Resistance Levels – $57,600, $58,000 and $60,000.

Ora Goodwin
Ora Goodwin
I am a well-known and respected author in the cryptocurrency field. I have been writing about Bitcoin and other digital currencies for over 5 years, and my work has appeared in some of the most respected publications in the space. I am also a regular speaker at industry events, and my insights into the crypto market are highly sought after by both media and investors. In addition to my writing and speaking engagements, I am also an active advisor to several blockchain startups, and I sit on the board of directors for the Blockchain Education Network.

Similar Articles

Most Popular

Football lengend David Beckham joins Greed island

On November 5th, the English football superstar David Beckham announced that he would join the Greed Island team, and the whitelist application channel has...

The NFT Project Driving Freedom of Speech in The Metaverse

"Schooling" The Metaverse On Free Speech, Tanked Gil Schoolies NFT's Use Comedy to Fight Cancel Culture With Freedom of Speech Under Attack in and around...

Potential projects to get whitelisted on Solana and Ethereum

The rapid expansion of the NFT sector over the last year has made possible a plethora of innovative new endeavors. The early identification of...

THE Ape-Revolution of the Defi Space

What do you get when you combine game-changing utility, an experienced team in Defi and a frenetic committed community? A monster coin in the...

The Sublimation of Metaverse Experience: Visualization, Multi-scene, Immersion

DID, Metaverse, Immersive Experience, On-chain Visualization, On-chain Interaction In recent years, the "metaverse" has become the new consensus of the global technology giants on the...

Funex Club Announces the Launch of its Upcoming Multi-Chain Decentralized Crypto Wallet – Funex Pro

VILNIUS, LITHUANIA / ACCESSWIRE / October 17, 2022 / After the successful launches and presale programs of its native currency, i.e., Funex Coin - Funex Club is...

NuriFlex successfully completed 1st round of NuriTopia $NBLU token private sales

VANCOUVER, British Columbia -- NuriFlex Holdings Inc. (www.nuri.ca, “NuriFlex”) announced that it has successfully completed 1st round of $NBLU token private sales. $NBLU token...

Bowled.Io To Build A Multilateral Community In Partnership With Prominent Web3 Ecosystem Players

Gaming is the fastest-growing entertainment industry in India. The number of online gamers in India has nearly doubled to 510 million from 269 million...