Bitcoin (BTC) Price Analysis October 26: Needs to Clear a Level for Rally Probability

According to the October 26 Bitcoin analysis; Bitcoin rallied yesterday after positive news from payments giant Mastercard and The Korean Teachers’ Credit Union. According to technical analysis by NewsBTC’s Aayush Jindal, Bitcoin needs to clear $64,000 for the possibility of a rally:

  • Bitcoin recouped its losses and managed to climb above the $62,500 resistance.
  • The price is now trading above $62,000 and the 100 hourly simple moving average.
  • There is a major bearish trend line forming with resistance near $63,200 on the hourly chart of the BTC/USD pair (data from Kraken).
  • If there is a close above the $64,000 resistance zone, the pair could start a steady rise.

The $64,000 Level Is Important

Bitcoin experienced a good recovery wave above $62,500 after the low of $59,610 it saw in the past days. Bitcoin even rallied above the 50% Fib retracement level of the downward move from the $66,980 high to $59,610 high. The price is now trading above $62,000 and the 100 hourly simple moving average.

However, it met resistance near the $63,000 and $63,200 levels and there is also a major bearish trend line forming with resistance near $63,200 on the hourly chart of the BTC/USD pair. The main breakout resistance is currently forming near the $64,000 level. This is close to the 61.8% Fib retracement level of the downward move from the $66,980 high to $59,610 high.

A clear break above the trendline resistance followed by $64,000 could potentially open the doors for a move towards the $65,000 level. The next major resistance is sitting near the $66,500 level.

Will Bitcoin Drop?

Jindal says that if Bitcoin fails to break past the $64,000 resistance zone, it could start a fresh downside correction. Immediate support on the downside is near the $62,200 level. The first major support is now forming near the $61,500 level and the 100 hourly SMA. A break below the $61,500 support could push the price towards the $60,000 support zone in the near term.

What Are Technical Indicators Saying?

  • Hourly MACD – The MACD is slowly gaining momentum in the bullish zone.
  • Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
  • MainSupport Levels – $62,200, then $61,500
  • Major Resistance Levels – $63,000, $63,200, and $64,000

Note: You have come to the end of the October 26 Bitcoin price analysis. The information, comments and evaluations contained herein are NOT within the scope of Investment Advisory. Keep following SinceCoin.

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