In a recent YouTube video, crypto analyst Crypto Rover drew attention to significant support and resistance levels for Bitcoin, stating that the leading cryptocurrency was bouncing off a support level at the time.
Bitcoin experienced a notable upward movement, approaching a resistance zone that had previously triggered a substantial rally toward the $31,000 mark. Rover said he had anticipated a relief rally after observing a bullish divergence, with the next target being around $28,700. This level had provided significant resistance in the past, and when broken, Bitcoin surged.
Notably, Rover explained that he had placed a short order at $28,700 but was not filled, as Bitcoin did not reach that level. If Bitcoin breaks above the red resistance zone at $28,700, it could lead to further positive price action. On the daily timeframe, there is almost no trading volume between $24,000 and $27,000, meaning that a break below support could lead to a rapid fall.
In addition, the analyst explained that the 12-hour timeframe showed Bitcoin bouncing from support, while the daily timeframe hinted at the possibility of a head and shoulders pattern forming. If Bitcoin fails to break above the red resistance zone, it could potentially move down to Rover’s main buy target of $24,000.
Interestingly, Roger pointed out that Altcoins also experienced a bounce, though not as strong as Bitcoin’s. As a result, the Bitcoin dominance index rose again, which could signal a further rally for Bitcoin while altcoins lag. If the index breaks above the red resistance box, it could reach 51-52% before stalling, potentially creating a favorable buying opportunity for altcoins. However, if there is a strong rejection at that level, altcoins could spike.
