Bitcoin’s price has not managed to maintain its upward momentum and has dipped below $88,500. BTC is currently on a downward trend and may encounter difficulties remaining above $86,800.
- Bitcoin has begun a new decline from the $90,500 range.
- The price is currently below $88,000 and the 100 hourly Simple Moving Average.
- A bearish trend line is forming with resistance at $87,650 on the hourly chart for the BTC/USD pair (data feed from Kraken).
- The pair may continue to decline if it stays below the $86,800 level.
Bitcoin Price Adjusts Gains
Bitcoin’s price could not maintain a positive trajectory and has started a new decline below $90,000. BTC dropped beneath $89,500 and $88,500, entering a bearish territory.
The bears successfully pushed the price below the 50% Fib retracement level of the upward movement from the $84,420 swing low to the $90,552 high. Additionally, there is a bearish trend line forming with resistance at $87,650 on the hourly chart of the BTC/USD pair.
Currently, Bitcoin is trading below $88,000 and the 100 hourly Simple Moving Average. If the price holds above $87,000, it might initiate a fresh recovery wave. Immediate resistance lies near the $87,650 level and the trend line.
The first key resistance is around the $88,500 mark. Following that, the next resistance could be at $89,100. A close above the $89,100 resistance may lead the price to rise further. In this scenario, it could test the $90,000 resistance. Further gains might drive the price towards the $90,500 level. The next significant resistance for the bulls could be at $91,500 and $92,000.
Further Losses in BTC?
If Bitcoin does not surpass the $88,500 resistance zone, it could initiate another downward movement. Immediate support is near the $87,000 level. The first major support lies around $86,750 and also aligns with the 61.8% Fib retracement level of the upward move from the $84,420 swing low to the $90,552 high.
The next support is now positioned near the $86,000 zone. Continued losses could push the price towards the $85,450 support shortly. The primary support is at $84,500, below which BTC could accelerate lower in the near term.
Technical indicators:
Hourly MACD – The MACD is gaining momentum in the bearish territory.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently below the 50 threshold.
Major Support Levels – $86,750, followed by $86,000.
Major Resistance Levels – $87,650 and $88,500.
