Bitcoin price started a recovery wave above $88,000. BTC is struggling now and may encounter hurdles near the $89,500 zone and $90,000.
- Bitcoin started a recovery wave and climbed towards $89,000.
- The price is trading above USD 86,000 and the 100 hourly Simple Moving Average.
- A bearish trendline is forming with resistance at $89,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could continue to decline if it crosses below the $86,000 zone.
Bitcoin price faces resistance
Bitcoin price managed to stay above the USD 82,000 level. BTC formed a base and recently started a recovery wave above the $85,000 resistance zone.
There was a move above the USD 86,500 resistance zone. The bulls pushed the price above the 50% Fib retracement level of the downward move from the $92,872 swing high to the $80,595 low. However, the bears seem to be active below the $90,000 zone.
Furthermore, a bearish trendline is forming with resistance at $89,000 on the hourly chart of the BTC/USD pair. Bitcoin is now trading above $87,000 and the 100 hourly Simple Moving Average.
If the bulls attempt another recovery wave, the price may encounter resistance near the $88,500 level. The first major resistance is near the $89,000 level and trendline. The next resistance could be $90,000 or the 76.4% Fib retracement level of the downward move from the $92,872 swing high to the $80,595 low.
A close above the USD 90,000 resistance could send the price rising further. In the mentioned case, the price could rise and test the USD 92,500 resistance. Any further gains could send the price towards the USD 93,200 level. The next barrier for the bulls could be $94,500 and $95,000.
Another drop in BTC?
If Bitcoin fails to rise above the $89,000 resistance zone, it could trigger another decline. The immediate support is near the $86,750 level. The first major support is near the $86,000 level.
The next support is now near the $83,500 zone. Any further losses could send the price towards the USD 82,500 support in the short term. The key support is at $80,000, below which BTC could potentially accelerate lower in the near term.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major support levels – USD 86,000, followed by USD 83,500.
Major resistance levels – $89,000 and $90,000.