Bitcoin Price Slips Again, Triggering Fresh Fears of a Deeper Correction

[Ben Graham]

Bitcoin price started a fresh decline and tested the $104,200 zone. BTC is now consolidating and might struggle to clear the $106,800 resistance zone.

• Bitcoin started a consolidation phase above the $104,000 zone.
• The price is trading below $106,000 and the 100 hourly Simple moving average.
• There is a bullish trend line forming with support at $104,450 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair could start a fresh increase if it clears the $106,800 resistance zone.

Bitcoin Price Dips To Support

Bitcoin price started a fresh decline and traded below the $105,650 support zone. BTC even traded below the $105,200 level and tested the $104,200 zone.

A low was formed at $104,279 and the price is now consolidating losses. There was a move above the $104,500 level and the 23.6% Fib retracement level of the recent decline from the $106,820 swing high to the $104,279 low.

Bitcoin is now trading below $106,000 and the 100 hourly Simple moving average. There is also a connecting bullish trend line forming with support at $104,450 on the hourly chart of the BTC/USD pair. On the upside, immediate resistance is near the $105,500 level. It is close to the 50% Fib retracement level of the recent decline from the $106,820 swing high to the $104,279 low.

The first key resistance is near the $106,220 level. The next key resistance could be $106,800. A close above the $106,800 resistance might send the price further higher. In the stated case, the price could rise and test the $107,500 resistance level. Any more gains might send the price toward the $110,000 level.

More Losses In BTC?

If Bitcoin fails to rise above the $106,000 resistance zone, it could start another decline. Immediate support is near the $104,500 level and the trend line. The first major support is near the $104,200 level.

The next support is now near the $103,200 zone. Any more losses might send the price toward the $102,500 support in the near term. The main support sits at $101,200, below which BTC might gain bearish momentum.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $104,200, followed by $103,200.

Major Resistance Levels – $105,500 and $106,800.