Bitcoin Price Respects Support Zone — Bulls Eye Fresh Rally

Bitcoin price remained supported above the $107,500 zone. BTC is now recovering losses and might aim for a move above the $109,200 resistance.

• Bitcoin started a recovery wave above the $108,000 zone.
• The price is trading above $108,500 and the 100 hourly Simple moving average.
• There is a bearish trend line forming with resistance at $109,050 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair could start a fresh increase if it stays above the $107,500 zone.

Bitcoin price started a fresh decline after it failed near the $110,000 zone. BTC declined below the $108,500 and $108,000 levels before the bulls appeared.

A low was formed at $107,650 and the price started a recovery wave. There was a move above the $108,500 resistance zone. The price climbed above the 50% Fib retracement level of the downward move from the $109,700 swing high to the $107,500 low.

Bitcoin is now trading above $108,500 and the 100 hourly Simple moving average. The first key resistance is near the $109,050 level. Besides, there is a bearish trend line forming with resistance at $109,050 on the hourly chart of the BTC/USD pair.

The next resistance could be $109,200 or the 76.4% Fib level of the downward move from the $109,700 swing high to the $107,500 low. A close above the $109,200 resistance might send the price further higher. In the stated case, the price could rise and test the $110,000 resistance level. Any more gains might send the price toward the $112,000 level. The main target could be $115,000.

If Bitcoin fails to rise above the $109,200 resistance zone, it could start another decline. Immediate support is near the $108,400 level. The first major support is near the $108,200 level.

The next support is now near the $107,500 zone. Any more losses might send the price toward the $105,500 support in the near term. The main support sits at $103,500, below which BTC might continue to move down.

Technical indicators:

Hourly MACD – The MACD is now gaining pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.

Major Support Levels – $108,500, followed by $107,500.

Major Resistance Levels – $109,200 and $110,000.