Bitcoin Surges 2.3% to $108,000 on Bullish Momentum

Bitcoin's price has recently exhibited a notable upward trend, surging past the $107,500 mark and consolidating above the $108,000 level. This fresh increase was driven by bullish momentum, with Bitcoin clearing several resistance levels near $107,000 and even spiking above the $110,000 threshold. The price has since formed a high near $110,578 and is currently consolidating gains near the 23.6% Fibonacci retracement level of the upward move from the $105,116 swing low to the $110,578 high.

Technical analysis indicates that Bitcoin is trading above the 100 hourly Simple Moving Average, with a short-term rising channel forming with support at $109,500 on the hourly chart of the BTC/USD pair. This suggests that if Bitcoin can maintain its position above the $107,850 zone, it could potentially start a fresh increase. However, immediate resistance is near the $110,000 level, with the first key resistance at $110,500. A close above this resistance could send the price further higher, potentially testing the $112,000 and $113,200 resistance levels.

On the downside, if Bitcoin fails to rise above the $110,000 resistance zone, it could start another decline. Immediate support is near the $109,500 level and the channel’s trend line, with the first major support at $108,800. The next support is near the $107,850 zone and the 50% Fibonacci retracement level of the upward move from the $105,116 swing low to the $110,578 high. Any further losses might send the price toward the $106,400 support in the near term, with the main support sitting at $105,000.

Technical indicators such as the Hourly MACD and Hourly RSI (Relative Strength Index) provide additional insights into Bitcoin's current price action. The MACD is now losing pace in the bullish zone, while the RSI for BTC/USD is above the 50 level, indicating a bullish sentiment. However, it is important to note that these indicators should be used in conjunction with other technical analysis tools and fundamental factors to make informed trading decisions.

In summary, Bitcoin's recent price action suggests a potential surge past the $110,000 mark, with key resistance levels at $110,500, $112,000, and $113,200. However, if Bitcoin fails to maintain its position above the $107,850 zone, it could face a downside correction, with key support levels at $109,500, $108,800, $107,850, $106,400, and $105,000. Investors and traders should closely monitor these levels and use technical indicators to make informed decisions about their Bitcoin positions.