TA: Bitcoin Consolidates Below $35K, What Could Trigger Fresh Rally

[RSRS]

Bitcoin price is holding gains above the $33,000 support zone against the US Dollar. BTC could start a fresh increase as long as it is above the $33,000 zone.

Bitcoin corrected lower, but the bulls remained active above the $33,000 zone.
The price is now trading just below the $34,500 support and the 100 hourly simple moving average.
There is a major contracting triangle forming with support near $33,750 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could start a decent increase if there is a clear break above $34,500 and $35,000.
Bitcoin Price Eyes Fresh Increase
Bitcoin spiked higher above the $35,000 resistance, but it failed to extend gains. BTC traded as high as $35,130 before it started a fresh downside correction.

There was a break below the $34,500 support level and the 100 hourly simple moving average. It even traded below the $34,000 level, but the bulls were active near the $33,500 level. A low was formed near $33,594 and the price is now consolidating losses.

It climbed above the 23.6% Fib retracement level of the recent drop from the $35,130 swing high to $33,594 low. It seems like there is a major contracting triangle forming with support near $33,750 on the hourly chart of the BTC/USD pair.



Source: BTCUSD on TradingView.com

If bitcoin price fails to stay above the triangle support and then $33,600, there could be a sharp decline. The next major support is near the $33,250 level. If there is a downside break below the $33,250 and $33,000 support levels, the price could continue to move down. Any more losses may possibly push the price towards the $32,200 support.

Sourch