The price of Bitcoin is trying to bounce back from $110,650. BTC has moved back above $112,200 but encounters several obstacles before reaching $115,000.
- Bitcoin initiated a recovery wave beyond the $112,000 range.
- The price remains below $114,000 and the 100 hourly Simple Moving Average.
- There is a significant bearish trend line emerging with resistance at $114,000 on the hourly chart for the BTC/USD pair (data sourced from Kraken).
- The pair might embark on another rally if it surpasses the $114,500 resistance level.
Bitcoin Price Dips Again
Bitcoin’s price has begun a new decline following a close beneath the $114,500 threshold. BTC has gained bearish momentum and has traded below the $113,200 support level.
A drop below the $112,000 support area and the 100 hourly Simple Moving Average occurred. The pair tested the $110,650 zone, with a low of $110,692 formed, and the price is currently attempting to rebound. It has risen above the 23.6% Fibonacci retracement level of the recent decline from the $117,354 swing high to the $110,692 low.
Bitcoin is now trading under $114,000 and the 100 hourly Simple Moving Average. Immediate resistance to the upside is around the $113,600 mark. The first significant resistance is near the $114,000 threshold. A critical bearish trend line is also forming with resistance at $114,000 on the hourly BTC/USD chart.
The next resistance level could be at $114,800 or the 61.8% Fibonacci retracement level from the recent drop from the $117,354 swing high to the $110,692 low. A close above the $114,800 resistance might propel the price further upward.
If this scenario plays out, the price could increase and challenge the $115,500 resistance level. Further gains may push the price towards the $116,500 mark.
Another Decline In BTC?
Should Bitcoin fail to surpass the $114,000 resistance area, it could initiate a fresh decline. Immediate support stands at the $112,500 level, with the first major support near $112,200.
The next support lies around the $111,500 mark. Any additional losses could drive the price towards the $110,650 support level in the short term. The primary support is at $108,500; below this level, BTC may experience a significant downturn.
Technical indicators:
Hourly MACD – The MACD is currently losing momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Major Support Levels – $112,200, followed by $112,000.
Major Resistance Levels – $113,500 and $114,000.
