Bitcoin price has started a mighty rally above the $70,500 zone. BTC is consolidating gains and could target more gains above the $71,650 zone.

• Bitcoin gained momentum to break above the $70,500 and $71,500 levels.
• The price is above $70,200 and the 100-hour basic moving average.
• A novel bullish flag pattern is forming on the hourly chart of the BTC/USD pair (feeding data from Kraken) with resistance at $71,650.
• The pair could extend gains if it holds above the $70,250 and $69,500 levels.

Bitcoin price maintains support

Bitcoin price managed to climb higher above the $69,500 resistance zone. BTC gained momentum to break above the $70,500 and $71,200 levels.

The pair even rose above the $72,200 level. The high was formed at $72,728, after which the price began a downward correction. There was a move below the 23.6% Fib retracement level resulting from an upward move from a low of $67,735 to a high of $72,728.

However, bulls were busy above $70,000. Bitcoin is currently trading above $70,500 and the 100-hour basic moving average. If the price remains stable above $70,000, a novel price hike may be attempted. Immediate resistance is near the $71,650 level. A novel bullish flag pattern is also forming on the hourly chart of the BTC/USD pair with resistance at $71,650.

The first key resistance is near the $72,000 level. A close above the resistance at $72,000 could see the price rise further. In this case, the price could move higher and test the resistance at $72,800. Any further gains could push the price towards the $73,500 level. The next barrier for bulls could be $74,000.

Greater BTC losses?

If Bitcoin fails to rise above the $71,650 resistance zone, it could begin another decline. Immediate support is located near the $70,300 level or the 50% Fib retracement level for an upward move from the low of $67,735 to the high of $72,728.

The first major support is near the $70,000 level. The next support is now near the $69,650 zone. Any further losses could push the price towards the $69,000 support in the near future. Major support currently stands at $68,800, below which BTC may have difficulty recovering in the near future.

Technical Indicators:

Hourly MACD – The MACD is currently losing momentum in a bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently near the 50 level.

Main support levels – $70,300 and then $70,000.

Major resistance levels – $71,650 and $72,800.