Bitcoin Price Faces Resistance
Bitcoin price started a fresh decline below the $88,000 level. BTC traded below the $86,000 and $85,000 support levels, eventually testing the $80,000 support zone. A low was formed at $80,006 before a recent recovery wave saw the price move above the $80,500 and $81,200 resistance levels. However, the price is currently trading below $85,000 and the 100 hourly Simple moving average.
On the upside, immediate resistance is seen near the $82,700 level, with the first key resistance at $83,000. A short-term bearish trend line is forming with resistance at $83,200 on the hourly chart of the BTC/USD pair. The next key resistance could be at $85,000, near the 50% Fib retracement level of the downward move from the $91,060 swing high to the $80,006 low.
A close above the $85,000 resistance level could potentially push the price higher towards $87,500, and further gains might lead to a test of $90,000 or even $96,200.
However, if Bitcoin fails to rise above the $83,000 resistance zone, it could signal a fresh decline. Immediate support on the downside is expected near the $81,000 level, followed by the major support level at $80,200. Further losses could see the price drop towards $78,000, with the main support sitting at $75,000.
Technical indicators show that the hourly MACD is losing pace in the bearish zone, while the hourly RSI for BTC/USD is currently below the 50 level.
In conclusion, while Bitcoin faces resistance at the $85,000 level, a break above this key resistance could pave the way for further gains. Conversely, a failure to surpass the $83,000 resistance may result in a renewed downward trend for the leading cryptocurrency.
This analysis is based on the latest price movements and technical indicators for Bitcoin. Traders and investors are advised to closely monitor the support and resistance levels mentioned above for potential trading opportunities.