Bitcoin Kicked Off A Rally Above $65,000 Level – Outlook Remains Bullish

Bitcoin launched a new rally above $65,000 against the US Dollar. BTC is showing positive signs and it could rise further towards $70,000 and above.

Bitcoin started a fresh increase above the $62,500 and $63,500 resistance levels. At the time of writing BTC exchanges hands for $65,323 and the 100 hourly simple moving average is above $65K.

There was a break above a major bearish trend line with resistance near $61,550 on the hourly chart of the BTC/USD pair. The rally could accelerate further higher once there is a close above the $66,000.

Bitcoin Price Action

Bitcoin price has held strong above the $60,000 support zone. As a result, BTC started a fresh rally above the $62,500 and $63,500 resistance levels.

BTC gained pace against USD for a move above the $65,500 level. A high is formed near $65,681 and the price is now consolidating gains.

Bitcoin is trading well above the 23.6% Fib retracement level of the upward move from the $60,129 swing low to $65,681 high. On the upside, an immediate resistance is near the $65,500 level. The first major resistance is near the $66,000 level.

A clear break above $66,000 resistance may possibly call open the doors for a fresh rally. The next major resistance sits near the $68,500 level. Any more gains might lead the price towards the $70,000 level and above.

Bitcoin Bull Market Support Bands

Just as Bitcoin was making moves, a prominent crypto analyst and trader Benjamin Cowen released a new update on Bitcoin support band.

He pointed out that Bitcoin is very close at breaking new all-time high on 20-week simple moving average.

A simple moving average (SMA) calculates the average of a selected range of prices, usually closing prices, by the number of periods in that range.

“We are next week getting close to putting in a new all-time high on the 20-week SMA. […] it should be just a matter of time before its higher than before.”

Cowen points out that the previous resistance has been flipped to support on weekly time frame, which he says is more important than the daily time frame.

“We are more or less turning the prior resistance on the weekly time frame that we had at 60K into support on the weekly time frame. The weekly time frame is a lot more important than the daily time frame. Having these weekly closes above $60K still looks relatively bullish.”

After clearing few ahead setbacks like in September, the analyst said it looks like Bitcoin will ultimately reach $100K level, but it needs more time.

“We said back in September, as we were expecting setbacks that hopefully we hold the line. If we hold the line we should have clear skies ahead.

There are couple of clouds getting past these all-time highs, but I do think Bitcoin will ultimately prevail. We will set new all-time highs and ultimately we will go to above $100,000. We just need more time.”