The Bitcoin price did not hold higher and fell below $88,500. BTC is now falling and could struggle to stay above $86,800.
- Bitcoin started a new decline from the $90,500 zone.
- The price is trading below $88,000 and the 100 hourly Simple Moving Average.
- A bearish trendline is forming with resistance at $87,650 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could continue to decline if it trades below the $86,800 zone.
Bitcoin price corrects gains
Bitcoin price did not remain in a positive zone and started a new decline below $90,000. BTC fell below USD 89,500 and USD 88,500 and entered a bearish zone.
The bears were able to push the price below the 50% Fib retracement level of the upward move from the $84,420 swing low to the $90,552 high. Furthermore, a bearish trendline is forming with resistance at $87,650 on the hourly chart of the BTC/USD pair.
Bitcoin is now trading below $88,000 and the 100 hourly Simple Moving Average. If the price remains stable above $87,000, another recovery wave could occur. Immediate resistance is near the $87,650 level and trendline.
The first major resistance is around the $88,500 level. The next resistance could be $89,100. A close above the resistance at $89,100 could send the price higher. In the mentioned case, the price could rise and test the USD 90,000 resistance. Any further gains could send the price towards the USD 90,500 level. The next barrier for the bulls could be $91,500 and $92,000.
Lose more in BTC?
If Bitcoin fails to rise above the USD 88,500 resistance zone, it could trigger another decline. Immediate support is near the $87,000 level. The first major support is near the $86,750 level and the 61.8% Fib retracement level of the upward move from the $84,420 swing low to the $90,552 high.
The next support is now near the $86,000 zone. Any further losses could send the price towards the USD 85,450 support in the near term. The key support is at $84,500, below which BTC could potentially accelerate lower 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 – $86,750, followed by $86,000.
Major resistance levels – $87,650 and $88,500.