Bitcoin price started a new decline below the $78,500 zone. BTC is consolidating and could struggle to stay above the USD 75,500 support.
- Bitcoin failed to stay above $77,500 and corrected gains.
- The price is trading below $77,000 and the 100 hourly moving average.
- A connecting bearish trendline is forming with resistance at $76,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could extend losses if it remains below the USD 76,000 and USD 75,500 levels.
Bitcoin price continues to fall
Bitcoin price failed to stay above the USD 77,500 support zone. BTC remained in a bearish zone and extended losses below the USD 77,000 level. There was a move below the USD 76,500 level.
The price even dropped below $76,000. A low was formed at $75,652 and the price is now consolidating losses. There was a small increase towards the 23.6% Fib retracement level of the downward move from the $79,480 swing high to the $75,652 low.
Bitcoin is now trading below $77,000 and the 100 hourly moving average. If the price remains stable above $75,500, another increase could be attempted. The immediate resistance is near the $76,500 level. A connecting bearish trendline is also forming with resistance at $76,500 on the hourly chart of the BTC/USD pair.
The first major resistance is around the $77,150 level. A close above the resistance at $77,150 could send the price higher. In the said case, the price could rise and test the $77,500 resistance and the 50% Fib retracement level of the downward move from the $79,480 swing high to the $75,652 low. Any further gains could send the price towards the $78,000 level. The next threshold for the bulls could be $78,500.
Disadvantage of continuation in BTC?
If Bitcoin fails to rise above the $77,000 resistance zone, it could trigger another decline. Immediate support is near the $76,000 level.
The first major support is near the $75,800 level. The next support is now near the $75,500 zone. Any further losses could send the price towards the USD 74,200 support in the near term. The key support now lies at $73,500, below which BTC could struggle to recover in the near term.
Technical indicators:
Hourly MACD – The MACD is now gaining speed in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Major support levels – USD 75,500, followed by USD 75,000.
Major resistance levels – $76,500 and $77,150.