Bitcoin price started a downward extension below $92,000. BTC is now recovering from USD 89,220 and could face obstacles for a new increase near USD 92,000.
- Bitcoin started a recovery wave above $90,000 and $90,500.
- The price is trading above $91,000 and the 100 hourly Simple Moving Average.
- There was a break above a bearish trendline with resistance at $90,750 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could continue to rise if it remains above the $90,000 zone.
Bitcoin price attempts recovery
Bitcoin price failed to stay above $91,500 and started a downward correction. BTC fell below USD 92,000 and USD 91,200 to enter a short-term bearish zone.
The price even fell below $90,500 and tested $90,000. A low was formed at $89,225 and the price is now trying to make a new increase. There was a move above $90,500. The price climbed higher from the 23.6% Fib retracement level of the recent decline from the $93,770 swing high to the $89,225 low.
Moreover, there was a break above a bearish trendline with resistance at $90,750 on the hourly chart of the BTC/USD pair. Bitcoin is now trading above $91,000 and the 100 hourly Simple Moving Average.
If the price remains stable above $90,500, another increase could be attempted. Immediate resistance is near the $92,000 level and the 50% Fib retracement level of the recent decline from the $93,770 swing high to the $89,225 low. The first major resistance is near the $92,650 level.
The next resistance could be $93,500. A close above the resistance at $93,500 could send the price higher. In the mentioned case, the price could rise and test the USD 94,000 resistance. Any further gains could send the price towards the USD 94,500 level. The next barrier for the bulls could be $95,000 and $95,500.
Another drop in BTC?
If Bitcoin fails to rise above the USD 92,500 resistance zone, it could trigger another decline. The immediate support is near the $91,250 level. The first major support is near the $90,500 level.
The next support is now near the $90,000 zone. Any further losses could send the price towards the USD 89,250 support in the near term. The key support is at $88,000, below which BTC could potentially accelerate lower in the near term.
Technical indicators:
Hourly MACD – The MACD is now gaining speed in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major support levels – USD 91,250, followed by USD 90,500.
Major resistance levels – $92,500 and $93,500.