Bitcoin price started a new decline below $95,000. BTC consolidates losses and remains at risk of further losses if its value falls below $92,000.
- Bitcoin started a sharp decline below $95,000 and $94,000.
- The price is trading below $93,500 and the 100 hourly Simple Moving Average.
- There was a break below a descending channel with support at $93,550 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could continue to decline if it remains below the $954000 zone.
Bitcoin price drops sharply
Bitcoin price failed to stay above the USD 94,500 support and started a new decline. BTC fell sharply below the USD 94,000 and USD 93,500 support levels.
There was a move below the 61.8% Fib retracement level of the recent wave, from the $89,995 swing low to the $97,898 high. Moreover, there was a break below a descending channel with support at $93,550 on the hourly chart of the BTC/USD pair.
The price even peaked below $92,000. It tested the 76.4% Fib retracement level of the recent wave from the $89,995 swing low to the $97,898 high. Bitcoin is now trading below $93,500 and the 100 hourly Simple Moving Average.
If the price remains stable above $92,000, another move up can be attempted. The immediate resistance is near the $93,000 level. The first major resistance is near the $93,500 level.
The next resistance could be $94,000. A close above the USD 94,000 resistance could send the price rising further. In the mentioned case, the price could rise and test the USD 95,000 resistance. Any further gains could send the price towards the USD 95,500 level. The next threshold for the bulls could be $96,200 and $96,400.
Disadvantage of continuation in BTC?
If Bitcoin fails to rise above the USD 93,500 resistance zone, it could trigger another decline. Immediate support is approaching the $92,000 level. The first major support is near the $91,800 level.
The next support is now near the $91,300 zone. Any further losses could send the price towards the USD 90,500 support in the short term. The key support is at $90,000, below which BTC could potentially accelerate lower 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 92,000, followed by USD 91,800.
Major resistance levels – $93,000 and $93,500.