The Bitcoin price seems poised for another leg higher above $17.5K

Bitcoin price held firm above the $16,920 support. BTC climbed higher and may soon aim for an upside break above the $17,500 resistance zone.

• Bitcoin found strong buying interest near the $16,920 and $16,900 levels.
• The price is trading above $17,000 and the 100 hourly simple moving average.
• A large contracting triangle is forming with resistance near $17,220 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair could gain bullish momentum if it clears the $17,250 and $17,450 resistance levels.

Bitcoin Price Eyes Upside Break

Bitcoin price corrected lower from $17,292 swing high. BTC fell below the $17,000 level and the 100 hourly simple moving average.

However, the bulls were active near the $16,920 and $16,900 levels. A low was formed near $16,880 and the price started a new rally. There was a clear move above the $17,000 resistance zone and the 100 hourly simple moving average.

Bitcoin price is now consolidating gains near the $17,150 level. There was a minor decline below the 23.6% Fib retracement level of the recent rise from the $16,880 low to $17,247 high.

On the upside, an immediate resistance is near the $17,150 level. A large contracting triangle is also forming with resistance near $17,220 on the hourly chart of the BTC/USD pair. The first major resistance is near the $17,300 zone, above which the price could perhaps retrace to the $17,450 zone.

Source: BTCUSD on TradingView.com

The next major resistance is near $17,500, above which the price starts a steady rise and rises towards the $18,000 zone in the short term.

Dips Limited in BTC?

If bitcoin fails to clear the $17,150 resistance, it could see another decline. An immediate support on the downside is near the $17,120 level and the 100-hour simple moving average.

The next major support is near the $17,000 zone. It is near the 50% Fib retracement level of the recent rise from the $16,880 low to $17,247 high. A downside break below the $17,000 support could call for a drop towards $16,880. Any further losses could push the price towards the $16,500 zone in the short term.

Technical indicators:

Hourly MACD – MACD is now losing momentum in the bullish zone.

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

Major support levels – $17,000, followed by $16,880.

Major resistance levels – $17,150, $17,300 and $17,450.