Bitcoin price traded to a new all-time high at $111,880 before it saw a downside correction. BTC is now consolidating and might find bids near $105,400.
Bitcoin Price Consolidates Gains
In the last few days, Bitcoin price saw a steady increase above the $105,000 resistance zone. The price surpassed a few key hurdles near the $106,500 resistance zone to set the pace for a larger increase. The bulls even pumped the price above the $109,000 resistance.
A new all-time high was formed at $111,880 and the price recently started a consolidation phase. There was a minor pullback below the $110,000 and $109,500 levels.
Bitcoin price is now trading well above the $105,000 pivot level and the 50-day simple moving average (blue). The current price action suggests that the price could consolidate for some more time before there could be a fresh increase.
On the upside, immediate resistance is near the $108,800 level. The first major resistance is near the $110,000 level. The main resistance could be near the $112,000 zone. A close above the $112,000 resistance might spark more upsides.
In the stated case, the price could attempt a move toward the $115,000 level. The next stop BTC price could be the $117,500 level. It is close to the 1.236 Fib extension level of the downward wave from the $109,590 swing high to the $74,500 low, above which the price could rise toward the $118,800 level. Any more gains might call for a test of $120,000.
Downside Correction In BTC?
If there is a downside correction, the price might find bids near the $105,000 level and a connecting bullish trend line on the daily chart. A downside break and close below the $105,000 support might spark more losses and send the price further lower. In the stated case, Bitcoin could test the $103,000 support. It is near the 23.6% Fib retracement level of the upward move from the $74,500 swing low to the $111,880 high.
The next key support could be $100,500. If the bulls fail to protect the $100,500 zone, the price could face heavy selling pressure. In the stated case, the price could test the $98,200 support. Any more losses might call for the test of the 50-day simple moving average (blue) at $97,000.
Overall, Bitcoin is showing positive signs and might soon attempt a move above the $110,000 resistance zone. If BTC dips, the bulls could protect the $103,000 support zone in the coming days.