Bitcoin price started a fresh decline below $88,000. BTC is now attempting to recover but upside might face hurdles near $88,000.
- Bitcoin started a fresh decline below the $88,000 zone.
- The price is trading below $87,500 and the 100 hourly Simple moving average.
- There was a break above a short-term bearish trend line with resistance at $86,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair might continue to move down if it settles below the $85,500 zone.
Bitcoin Price Attempts Recovery
Bitcoin price failed to stay above the $90,000 zone and started a fresh decline. BTC dipped sharply below $88,500 and $88,000. The bears even pushed the price below the $86,500 level.
A low was formed at $83,870 and the price is now correcting losses. There was a move above the $85,000 level. The price climbed above the 23.6% Fib retracement level of the downward move from the $91,928 swing high to the $83,870 low.
Besides, there was a break above a short-term bearish trend line with resistance at $86,000 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 bulls remain in action, the price could attempt another increase. Immediate resistance is near the $87,250 level. The first key resistance is near the $88,000 level or the 50% Fib retracement level of the downward move from the $91,928 swing high to the $83,870 low.
The next resistance could be $88,500. A close above the $88,500 resistance might send the price further higher. In the stated case, the price could rise and test the $90,000 resistance. Any more gains might send the price toward the $91,500 level. The next barrier for the bulls could be $92,000 and $92,500.
Another Decline In BTC?
If Bitcoin fails to rise above the $88,000 resistance zone, it could start another decline. Immediate support is near the $85,500 level. The first major support is near the $85,000 level.
The next support is now near the $83,500 zone. Any more losses might send the price toward the $82,500 support in the near term. The main support sits at $81,200, below which BTC might 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 above the 50 level.
Major Support Levels – $85,500, followed by $85,000.
Major Resistance Levels – $87,250 and $88,000.
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