bitcoin has been trying to change its trajectory from a slowdown to a boom. However, despite their efforts, the coin has maintained a downward trend for several days following its inability to surpass its previous all-time high of $73,833.
Will bitcoin continue to rise after this rejection?
At the time of writing, btc price was trading around $63,846, about 27% off its all-time high and up 0.06% in the last 24 hours. Although the price is trading below the 100 SMA on the 4-hour chart, it is still trading above the 100 SMA on the daily chart.
Looking at the support and resistance Lines in the image below, you can see that the price has tried to break the $59,579 support level twice and failed. The first time bitcoin reached this level, it drove the price up to create a new all-time high. Therefore, now that it has reached this level again, it could boost btc even further.
The circles in the image indicate the two points:
<img decoding="async" class="size-medium wp-image-295676 aligncenter" src="https://technicalterrence.com/wp-content/uploads/2024/04/Bitcoin-Recovers-After-Falling-To-59000-Level-Heading-Towards-New.png" alt="bitcoin” width=”640″ height=”356″ srcset=”https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-12-41.png?w=2273 2273w, https://technicalterrence.com/wp-content/uploads/2024/04/Bitcoin-Recovers-After-Falling-To-59000-Level-Heading-Towards-New.png 640w, https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-12-41.png?w=768 768w, https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-12-41.png?w=980 980w, https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-12-41.png?w=1536 1536w, https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-12-41.png?w=2048 2048w, https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-12-41.png?w=750 750w, https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-12-41.png?w=1140 1140w” sizes=”(max-width: 640px) 100vw, 640px” data-recalc-dims=”1″/>
Furthermore, with the formation of the Relative Strength Index (RSI) in the image, the indicator suggests an upward move as the RSI signal line is seen trending slightly above the 50% level. This also suggests that buyers are still very active in the market and against sellers.
The MACD indicator on the 4-hour chart also suggests that btc could rise as the MACD histograms move. trends above the zero line. Both the MACD line and the Signal line have crossed and are about to cross above the MACD zero line, indicating an uptrend, as seen in the image below.
<img loading="lazy" decoding="async" class="size-medium wp-image-295679 aligncenter" src="https://technicalterrence.com/wp-content/uploads/2024/04/1713655036_294_Bitcoin-Recovers-After-Falling-To-59000-Level-Heading-Towards-New.png" alt="bitcoin” width=”640″ height=”356″ srcset=”https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-36-53.png?w=2273 2273w, https://technicalterrence.com/wp-content/uploads/2024/04/1713655036_294_Bitcoin-Recovers-After-Falling-To-59000-Level-Heading-Towards-New.png 640w, https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-36-53.png?w=768 768w, https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-36-53.png?w=980 980w, https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-36-53.png?w=1536 1536w, https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-36-53.png?w=2048 2048w, https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-36-53.png?w=750 750w, https://bitcoinist.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-20_10-36-53.png?w=1140 1140w” sizes=”(max-width: 640px) 100vw, 640px” data-recalc-dims=”1″/>
Possible trend that could develop
In other words, since bitcoin price is trying to rally, if it manages to break above the minor resistance level of $67,895.24, it could start moving towards its major resistance level of $73,833.34. Furthermore, if prices surpass this level, they could even advance further to create a new all-time high.
On the contrary, if bitcoin fails to break above its previous highs, it could decline towards its previous support level of $59,579.72. If it breaks below the zone, the price could find a deeper correction to create a new low.
Featured image from iStock, chart from Tradingview.com
