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Bitcoin price is struggling below the $69,500 zone. BTC is showing signs of weakness and upside could be capped around the $69,200 level.
- Bitcoin started a new decline from the $70,000 zone.
- The price is trading below $70,000 and the 100 hourly Simple Moving Average.
- A new connecting bearish trendline is forming with resistance at $68,400 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could struggle to recover above the $69,200 resistance zone.
Bitcoin price faces hurdles
Bitcoin price failed to start a new increase and extended losses below the $70,500 zone. There was a move below the USD 70,000 and USD 69,200 support levels.
The price even fell below $68,000 and tested $66,800. A low was formed at $66,836 and the price is now trying to recover. There was a move above the resistance at $67,500. The price tested the 23.6% Fib retracement level of the downward move from the $71,576 swing high to the $66,836 low.
Bitcoin price is now trading below $70,000 and the 100 hourly Simple Moving Average. On the upside, the price could encounter resistance near the USD 68,200 level. A new connecting bearish trendline is also forming with resistance at $68,400 on the hourly chart of the BTC/USD pair.
The first major resistance is near the $69,200 level or the 50% Fib retracement level of the downward move from the $71,576 swing high to the $66,836 low. A clear move above the USD 69,200 resistance could push the price higher. The next major resistance could be at USD 70,000.
A close above the $70,000 resistance could lead to more gains. In the said case, the price could rise and test the USD 71,200 resistance level. Any further gains could send the price towards the USD 72,000 resistance level.
Another drop in BTC?
If Bitcoin fails to rise above the USD 69,200 resistance zone, it could trigger another decline. The immediate downside support is near the $67,400 level.
The first major support is near the $66,800 level. The next support is now near the $66,500 zone. Any further losses could send the price towards the USD 65,500 support in the near term.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Major support levels – USD 67,500, followed by USD 66,800.
Major resistance levels – $69,200 and $70,000.
