Bitcoin price surged above $11,000 and $11,200 against the US Dollar. BTC is now consolidating gains and it seems to be preparing for another rally above $11,500.
- Bitcoin is showing positive signs and it is trading nicely above the $11,200 support level.
- The price is facing a short-term resistance at $11,420, but it is above the 100 hourly simple moving average.
- There is a key contracting triangle forming with resistance near $11,420 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could rally if it clears the $11,420 and $11,500 resistance levels.
Bitcoin Price is Showing Positive Signs
Bitcoin price started a strong upward move after it broke the $11,000 resistance against the US Dollar. BTC even cleared the $11,200 resistance and settled well above the 100 hourly simple moving average.
It traded to a new monthly high near $11,495 before starting a short-term downside correction. There was a break below the $11,400 level, plus the price traded below the 23.6% Fib retracement level of the upward move from the $11,025 low to $11,494 high.
However, the bulls were able to protect the $11,250 support level. The 50% Fib retracement level of the upward move from the $11,025 low to $11,494 high also acted as a strong support.
<img alt="Bitcoin Price" class="alignnone size-full wp-image-446085"