The price of Bitcoin is exhibiting bearish trends below $113,500. BTC is finding it difficult to recover and may encounter obstacles around the $113,000 area.
- Bitcoin has begun a new decline beneath the $111,400 threshold.
- The price is trading under $111,500 and the 100 hourly Simple Moving Average.
- A significant bearish trend line is developing with resistance around $111,550 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair might initiate another increase if it breaks through the $112,500 resistance area.
Bitcoin Price Tries to Recover
Bitcoin’s price started a new downward trend following a close below the $112,500 mark. BTC gained bearish momentum and fell beneath the $112,000 support level.
The price dropped below the $110,500 support area and the 100 hourly Simple Moving Average, testing the $108,750 zone. A low of $108,734 was recorded, and the price has recently begun a recovery wave, moving above $111,200.
The price exceeded the 23.6% Fib retracement level of the recent decline from the $117,354 swing high to the $110,692 low. Bitcoin is currently trading below $111,500 and the 100 hourly Simple Moving Average.
Immediate resistance on the upside is near the $111,500 level. A bearish trend line with resistance at $111,550 is also forming on the hourly chart of the BTC/USD pair. The first key resistance is seen near the $112,000 level. The next potential resistance could be at $113,000 or the 50% Fib retracement level of the recent drop from the $117,354 swing high to the $110,692 low.
A close above the $113,000 resistance could lead to further increases in price. In this scenario, the price may rise to test the $114,200 resistance level. Additional gains could push the price toward $115,500, with the primary target being $116,500.
Could BTC Drop Again?
If Bitcoin is unable to break above the $111,550 resistance zone, it may initiate a new decline. Immediate support is found near the $110,500 mark, with the first significant support around $109,200.
The next support level sits near the $108,500 zone. Any further losses might push the price down toward the $106,500 support in the short term. The main support level is at $105,500, beneath which BTC could see a sharper decline.
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 mark.
Major Support Levels – $108,500, followed by $106,500.
Major Resistance Levels – $111,500 and $113,000.
