Bitcoin price recently gained momentum after a successful break above the $6,800 resistance level. It extended its rise above the $7,000 resistance and the 100 hourly SMA. Moreover, the BTC price surpassed the $7,200 resistance and even traded as high as $7,302 before starting a downside correction. Though the price declined slightly below the $7,100 level, the bulls were able to protect the $7,050 region.

A daily low was formed at $7,066 and the price remained stable above the 100 hourly SMA. A strong support seems to be forming near the $7,050 level. Additionally, there is a key bullish trend line forming on the BTC/USD hourly chart, with support near $7,100. At press time, the price is rising steadily rising and trading near the 50% Fib retracement level of the recent decline from the $7,302 high to $7,066 low.

On the upside, an immediate resistance is seen near the $7,215 and $7,220 levels. An initial major resistance is close to the $7,250 level. It is also near the 76.4% Fib retracement level of the recent downtrend from the $7,302 high to $7,066 low. A successful break above this resistance level could pave way for more upsides towards the $7,300 and $7,400 levels. The next major resistance is seen close to the $7,500 level.

On the downside, there is a major support close to the $7,050 level and the 100 hourly SMA. If the price fails to remain well bid above the $7,050 and $7,000 support levels, it could start a fresh decline. A daily close below the $7,000 support level might lead the price towards the $6,800 support zone in the near term.

Technical Indicators:

The hourly MACD for BTC/USD trading pair is currently moving slowly in the bullish zone. The hourly RSI (Relative Strength Index) for the pair is just above the 50 level. Major support levels are $7,050 and $7,000, whereas major resistance levels are $7,250, $7,300 and $7,500.