Bitcoin Price Revisits Key Support, Can Bulls Save The Day?

0

Bitcoin price declined and retested the $26,500 support. BTC must stay above the $26,500 support to avoid more losses in the coming sessions.

  • Bitcoin started another decline and retested the $26,500 support.
  • The price is trading below $27,500 and the 100 hourly simple moving average.
  • There is a major bearish trend line forming with resistance near $27,700 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could extend its decline if there is a clear move below the $26,500 support.

Bitcoin Price Turns Red Again

Bitcoin price failed to gain strength above the $28,200 resistance zone. BTC formed a short-term top and reacted to the downside below the $27,500 support zone.

There was a clear move below the $27,200 support zone and the price even broke the $27,000 support. It retested the key $26,500 support zone. A low is formed near $26,491 and the price is now consolidating losses. There was a minor increase above the 23.6% Fib retracement level of the downward move from the $28,240 swing high to $26,491 low.

Bitcoin price is now trading below $27,500 and the 100 hourly simple moving average. There is also a major bearish trend line forming with resistance near $27,700 on the hourly chart of the BTC/USD pair.

On the upside, an immediate resistance is near the $27,350 level. It is near the 50% Fib retracement level of the downward move from the $28,240 swing high to $26,491 low. The next major resistance is near the $27,700 zone, the trend line, and the 100 hourly simple moving average.

Bitcoin Price

Source: BTCUSD on TradingView.com

A close above the trend line resistance might send the price towards the $28,200 support. In the stated case, the price could rise towards the $28,800 resistance, above which the price might gain bullish momentum.

More Losses in BTC?

If bitcoin price fails to clear the $27,700 resistance, it could start another decline. An immediate support on the downside is near the $26,500 zone.

The next major support is near the $26,500 zone. A downside break below the $26,500 support might send the price towards the $25,800 support zone. The next major support is near the $25,200 level.

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 – $26,650, followed by $26,500.

Major Resistance Levels – $27,350, $27,700 and $28,200.

Leave A Reply

Your email address will not be published.