Bitcoin is at Resistance, What Now?

17 ก.พ. 2023

Bitcoin is at the $25,000 resistance. If the price breaks above this level, it will open the coin to further gains.

The Details: Bitcoin recently hit the $25,000 resistance level, which was identified in our last analysis. This resistance level was last tested in August 2022, and has proven to be a tough hurdle for Bitcoin to overcome. Let’s review Bitcoin's current state and what could happen next.

Next Resistances
If Bitcoin manages to break above the $25,000 resistance level, the next minor obstacle is at $28,000. This level briefly stopped the bear run in 2022 and could pose a challenge for Bitcoin this time around.

However, if Bitcoin manages to overcome this minor resistance, it will then face a major resistance at the $34,000 level. This level has caused a bounce in January 2022 and also in the summer of 2021, and would be a significant challenge for Bitcoin to overcome.

Bull Run Support
This bull run is supported by a few factors. For instance, the 100 simple moving average (SMA) acts as a mobile support and resistance. Bitcoin recently broke above the 100 SMA, which could potentially indicate that the price will hold up in the case of a reversal.

Additionally, another essential price point to keep in mind is the previous support at $21,500. Bitcoin already bounced off this level a few days ago, which indicates that it could hold as a support level in the future.

Bottom Line: Bitcoin has reached a resistance level of $25,000; if it manages to break above it, it will face the $28,000 minor resistance and then the $34,000 major resistance. There are a few indicators that will help support this bull run, including the 100 SMA acting as mobile support and resistance and the previous support level at $21,500.