Bitcoin Price Attempts A Comeback, But Follow-Through Remains Thin

[Ben Graham]

Bitcoin price extended its decline below $78,000. BTC is now attempting to recover from $74,500 but faces many hurdles near $80,000.

• Bitcoin is attempting to recover above $77,000 and $78,000.
• The price is trading below $80,000 and the 100 hourly simple moving average.
• There was a break above a bearish trend line with resistance at $78,400 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair might dip again if it trades below the $77,000 and $76,000 levels.

Bitcoin Price Faces Resistance

Bitcoin price failed to remain stable above the $82,000 zone. BTC extended its decline below the $80,000 and $79,500 levels. The bears were able to push the price below $78,000.

It spared major bearish moves, pushing the price below $76,000. A low was formed at $74,543, and the price is now attempting to recover. There was a move above $78,000. The price surpassed the 23.6% Fib retracement level of the downward move from the $90,440 swing high to the $74,543 low.

Besides, there was a break above a bearish trend line with resistance at $78,400 on the hourly chart of the BTC/USD pair. Bitcoin is now trading below $80,000 and the 100 hourly simple moving average.

If the price remains stable above $77,000, it could attempt a fresh increase. Immediate resistance is near the $79,200 level. The first key resistance is near the $80,000 level. A close above the $80,000 resistance might send the price further higher. In the stated case, the price could rise and test the $82,500 resistance or the 50% Fib retracement level of the downward move from the $90,440 swing high to the $74,543 low. Any more gains might send the price toward the $84,000 level. The next barrier for the bulls could be $85,000 and $85,500.

Another Decline In BTC?

If Bitcoin fails to rise above the $79,200 resistance zone, it could start another decline. Immediate support is near the $78,000 level. The first major support is near the $77,000 level.

The next support is now near the $76,000 zone. Any more losses might send the price toward the $74,500 support in the near term. The main support sits at $72,000, below which BTC might struggle to recover 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 – $77,000, followed by $76,000.

Major Resistance Levels – $79,200 and $80,000.