Bitcoin has begun a promising new upward trend, surpassing the important resistance level at $108,500. After breaking the short-term downtrend, BTC is now trading steadily above the 100-hour simple moving average (SMA 100), indicating a positive signal for the potential continuation of price increases in the short term.

Recent price movements of Bitcoin

After breaking through the resistance area of $107,500, Bitcoin has made a strong breakout, overcoming several barriers at $108,000 and entering the positive zone. Notably, the BTC/USD pair (data from Kraken exchange) has broken a significant downtrend line at $109,350 on the hourly chart. This is a clear sign that buying pressure is dominating.

Currently, BTC is trading steadily above $108,500 and the 100-hour SMA. At the same time, the price has also surpassed the 50% Fibonacci retracement level of the recent decline from the peak of $110,515 to the bottom of $107,299.

Resistance and next upward target

  • Immediate resistance: $109,750 – This is the price area close to the 76.4% Fibonacci retracement level from the previous decline.

  • Major resistance: $110,000 – If the price closes steadily above this level, the uptrend may be confirmed.

  • Next target: If $110,000 is broken, BTC may head towards the $112,000 area, followed by $113,200. In the most positive scenario, the price could reach $115,000 in the near future.

Risk of a downward correction if the upward momentum cannot be maintained.

However, if Bitcoin fails to maintain its upward momentum and fails to break above the $110,000 mark, the price may face a correction:

  • Short-term support: $108,800 – This is the first price area to monitor if there is a slight correction.

  • Strong support: $108,350 – If this level is broken, the price may continue to decline towards the area of $107,250.

  • Important support: $106,400 – And if it continues to decline further, the final notable support level will be $105,000. Falling below this mark could increase strong selling pressure.

Technical indicators support the uptrend

  • MACD (Moving Average Convergence Divergence): Showing stronger upward momentum, in the positive zone.

  • RSI (Relative Strength Index): Currently above 50, indicating that the uptrend is being reinforced.

Conclusion

Bitcoin is showing strong signs of recovery after the recent correction. If it holds above the support level of $108,350 and breaks through the key resistance at $110,000, BTC could enter a new upward wave towards $115,000. However, investors should also pay attention to support levels to mitigate risks in case the market corrects back.