Bitcoin Drops Under $100K as Risk Appetite Fades in Crypto Markets

[Ben Graham]

Bitcoin price failed to recover above $104,000. BTC is down over 4% and there are chances of more downsides below $98,000.

• Bitcoin started a fresh decline below $102,000 and $100,000.
• The price is trading below $100,000 and the 100 hourly Simple moving average.
• There is a bearish trend line forming with resistance at $102,200 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 $98,500 zone.

Bitcoin Price Dips Sharply

Bitcoin price failed to stay in a positive zone above the $103,500 pivot level. BTC bears remained active below $102,500 and pushed the price lower.

The bears gained strength and were able to push the price below the $100,000 handle. A low was formed at $98,000 and the price is now consolidating losses near the 23.6% Fib retracement level of the recent decline from the $103,999 swing high to the $98,000 low.

Bitcoin is now trading below $100,000 and the 100 hourly Simple moving average. Besides, there is a bearish trend line forming with resistance at $102,200 on the hourly chart of the BTC/USD pair.

If the bulls attempt another recovery wave, the price could face resistance near the $100,500 level. The first key resistance is near the $101,000 level and the 50% Fib retracement level of the recent decline from the $103,999 swing high to the $98,000 low.

The next resistance could be $102,200. A close above the $102,200 resistance might send the price further higher. In the stated case, the price could rise and test the $103,500 resistance. Any more gains might send the price toward the $104,200 level. The next barrier for the bulls could be $105,000 and $105,500.

More Losses In BTC?

If Bitcoin fails to rise above the $102,200 resistance zone, it could start another decline. Immediate support is near the $98,500 level. The first major support is near the $98,000 level.

The next support is now near the $96,500 zone. Any more losses might send the price toward the $95,000 support in the near term. The main support sits at $92,500, below which BTC might accelerate lower in the near term.

Technical indicators:

Hourly MACD – The MACD is now gaining pace in the bearish zone.

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

Major Support Levels – $98,500, followed by $98,000.

Major Resistance Levels – $100,500 and $101,000.