Bitcoin’s Move To $57K Could Ignite A New Rally Higher: Analysis

Bitcoin’s Move To $57K Could Ignite A New Rally Higher: Analysis

Bitcoin’s move to $57K could start a new rally even higher as the price is recovering above the $55K against the dollar as we can see more in our latest bitcoin news today.

Bitcoin’s move to $57K could start a strong rally as the price is now well above the $55K and the 100 simple moving average after it managed to break the bearish trend line with the resistance near $55K on the 4-hour charts of the pair that will rally towards $60K if the previous resistance is surpassed. Over the past week, the BTC price tested the $50K support and started a new increase against the US dollar with the pair forming a new support base of $52K and a new increase.

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BTC with moderates gains in the 24-hour chart. Source BTCUSD Tradingview

The price managed to break the $53K resistance into the positive zone and opened the doors for a new break above the $55K with a break above the 50% fib from the downward movement of the $57,235 high to $50,400 swing low. What’s more, there was a break above the major bearish trend line with the resistance near $55K on the 4-hour charts of the pair which is trading above the 76.4% fib retracement level from the move of the $57,235 high to $50,400 low.

The immediate resistance is close to the $57K level and the 100 simple moving average and a break above it could open the door for another increase to $60K in the upcoming sessions. If BTC fails to settle above the $57K resistance or the 100 simple moving average there can be a risk for another drop with the initial support on the downside nearing the $55K level. The first key support is near the $55K broken trend line so breaking below it could bring more lows but in the stated case, the price will likely drop to $53,200 or lower.

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Institutions and corporations buying each dip is preventing any serious corrections Source BTCUSD on TradingView.com

As recently reported, The massive Coinbase Outflow could propel the price of Bitcoin higher while the coin is down by more than $10K from its all-time high but it did double twice as much from the previous peak since 2017. The leading cryptocurrency spent more than 100 days above the former high and will not return to levels near or below it.