Bitcoin Price 10% Tumble Sparks Fears Of $80K Give-Way

[Ben Graham]

Bitcoin price started a major decline below $86,500. BTC is down nearly 10% and might soon test the $80,000 support zone.

• Bitcoin failed to remain above $86,500 and started another decline.
• The price is trading above $85,000 and the 100 hourly simple moving average.
• There is a bearish trend line forming with resistance at $83,200 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair might dip further if it trades below the $81,000 and $80,000 levels.

Bitcoin Price Dips Again

Bitcoin price failed to continue higher above the $88,000 zone. BTC started a major decline below the $87,200 and $86,500 levels. The bears were able to push the price below $85,000.

It spared major bearish moves, pushing the price below $82,000. A low was formed at $81,000 and the price is still signaling more downsides. There is also a bearish trend line forming with resistance at $83,200 on the hourly chart of the BTC/USD pair.

Bitcoin is now trading below $83,200 and the 100 hourly simple moving average. If the price remains stable above $80,000, it could attempt a fresh increase. Immediate resistance is near the $82,000 level. The first key resistance is near the $83,200 level or the 23.6% Fib retracement level of the downward move from the $90,438 swing high to the $81,000 low.

A close above the $83,200 resistance might send the price further higher. In the stated case, the price could rise and test the $85,000 resistance. Any more gains might send the price toward the $85,700 level or the 50% Fib retracement level of the downward move from the $90,438 swing high to the $81,000 low. The next barrier for the bulls could be $87,000 and $87,500.

More Losses In BTC?

If Bitcoin fails to rise above the $83,200 resistance zone, it could start another decline. Immediate support is near the $81,000 level. The first major support is near the $80,500 level.

The next support is now near the $80,000 zone. Any more losses might send the price toward the $77,000 support in the near term. The main support sits at $75,000, below which BTC might struggle to recover 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 – $81,000, followed by $80,000.

Major Resistance Levels – $82,000 and $83,200.