TA: Bitcoin Corrects Gains, Why Dips Could be Attractive In Short-term

Bitcoin rallied above the $42,000 resistance zone against the US Dollar. BTC is correcting gains, but it might find support near the $40,000 zone. Bitcoin extended rally and even traded above the $42,000 resistance zone. The price is trading above $40,000 and the 100 hourly simple moving average. There is a key bullish trend line forming with support near $40,250 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair might start a fresh increase unless there is a close below the 39,500 support zone. Bitcoin Price Dips Bitcoin price remained well bid above the $40,000 support zone. BTC extended rally and climbed above the $42,000 resistance zone. The price even spiked above the $42,500 level and settled above the 100 hourly simple moving average. A high was formed near $42,547 before the price started a downside correction. There was a minor decline below the $41,650 support level. Bitcoin traded below the 23.6% Fib retracement level of the upward move from the $37,160 swing low to $42,547 high. It is now consolidating near the $40,800 level. There is also a key bullish trend line forming with support near $40,250 on the hourly chart of the BTC/USD pair. On the upside, an immediate resistance is near the $41,250 level. The next major resistance is near the $42,000 level. If there is a clear move above the $42,000 resistance zone, the price might gain bullish momentum. In the stated case, the price could rise ...