Bitcoin Price Tries Rebound Move as Dip-Buyers Step In Cautiously

[Ben Graham]

Bitcoin price started another decline below $88,000. BTC is now attempting to recover and might face hurdles near the $89,500 zone.

• Bitcoin started a fresh decline below $90,000 and $88,000.
• The price is trading below $89,000 and the 100 hourly Simple moving average.
• There is a bearish trend line forming with resistance at $89,500 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 $85,000 zone.

Bitcoin Price Attempts Recovery

Bitcoin price failed to stay in a positive zone above the $90,000 level. BTC bears remained active below $88,000 and pushed the price lower.

The bears gained strength and were able to push the price below the $85,000 zone. A low was formed at $80,595, and the price is now attempting to recover. There was a move above $85,000. The price climbed above the 50% Fib retracement level of the recent decline from the $92,872 swing high to the $80,595 low.

Bitcoin is now trading below $89,000 and the 100 hourly Simple moving average. Besides, there is a bearish trend line forming with resistance at $89,500 on the hourly chart of the BTC/USD pair.

If the bulls attempt another recovery wave, the price could face resistance near the $88,150 level and the 61.8% Fib retracement level of the recent decline from the $92,872 swing high to the $80,595 low. The first key resistance is near the $89,500 level and the trend line.

The next resistance could be $90,000. A close above the $90,000 resistance might send the price further higher. In the stated case, the price could rise and test the $92,500 resistance. Any more gains might send the price toward the $93,200 level. The next barrier for the bulls could be $94,500 and $95,000.

More Losses In BTC?

If Bitcoin fails to rise above the $89,500 resistance zone, it could start another decline. Immediate support is near the $86,500 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 $80,000, 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 – $86,500, followed by $85,000.

Major Resistance Levels – $89,500 and $90,000.