"If it breaks $81,200, it goes further"...Bitcoin, on the verge of another surge

▲ Bitcoin (BTC), rise/ChatGPT generated image

Bitcoin (BTC) secured support around $78,500 and then showed an upward trend again, opening up the possibility of further gains.

NewsBTC reported on May 5 (local time) that Bitcoin successfully rebounded after holding the $78,500 level, and after breaking past the $80,500 zone, it entered a consolidation phase near its high. Bitcoin broke through the $78,800 and $79,200 resistance levels in sequence, recovering short-term buying momentum.

During its ascent, Bitcoin formed a high of $80,770 before entering a correction phase. However, it maintained a bullish structure by moving above the Fibonacci 23.6% retracement level of the rise from the $74,940 low to the $80,770 high. On the hourly chart, an uptrend support line formed near $79,200.

Technically, holding the $79,200 and $78,800 levels is key to the continuation of the short-term uptrend. If the price remains stable above this zone, Bitcoin could retest the $80,500 resistance. The primary key resistance is $80,800, and if it breaks above $81,200 on a closing basis, there is room for further gains up to $81,650.

If the uptrend continues further, the next target zones are presented as $82,000 and $82,500. The hourly Moving Average Convergence Divergence (MACD) is accelerating in the bullish zone, and the Relative Strength Index (RSI) is also above the 50-line, indicating a buying-dominant trend.

Conversely, if Bitcoin fails to overcome the $81,200 resistance, it could face renewed downward pressure. Immediate support is at $79,200, and major support is located at $78,500. Subsequently, if there is a further decline, the $77,850 zone and the Fibonacci 50% retracement level could act as the next defensive lines.

NewsBTC analyzed that Bitcoin's key support level is at $76,500, and if it breaks below this level, short-term recovery could become difficult. The current market is expected to determine its next direction based on whether it breaks $81,200 and maintains support at $79,200.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*