Bitcoin Slips Below $100K: Is The Rally Losing Steam?
Bitcoin price fell below the $105,000 area again. BTC is down nearly 5% and is trying to settle below the $100,000 support area.
- Bitcoin started a fresh decline from the $108,000 resistance zone.
- The price is trading below $104,000 and the 100 hourly simple moving average.
- There is a bearish trend line connecting with resistance at $102,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- If the pair holds above the $98,000 support zone, a fresh increase may begin.
Bitcoin price takes a hit
Bitcoin price attempts to rise further $108,000 Resistance Zone. However, BTC failed to continue higher and reacted to the downward trend below $105,000.
There was a clear break below the $102,500 support. The price even dropped below $100,000. A low was formed at $98,728 and the price is now consolidating losses. There is also a bearish trend line forming with resistance at $102,000 on the hourly chart of the BTC/USD pair.
Bitcoin price currently below $104,000 100 hour simple moving average. On the upside, the price may face resistance near the $100,500 level. It is close to the 23.6% Fib retracement level of the downward move from the swing high of $108,297 to low of $98,728.
The first key resistance is near the $101,000 level and trend line. A clear break above the $101,000 resistance could lead to a move higher. The next key resistance level is likely to be $102,250. A close above the $102,250 resistance is likely to push the price higher.
In the above scenario, the price is likely to rise and test the $103,500 resistance or the 50% Fibonacci retracement level of the downside move from the $108,297 swing high to $98,728 low. In case of further gains, the price may rise towards the $106,000 level.
Does Bitcoin Have More Downside?
If Bitcoin fails to break above the $101,000 resistance, it may continue to fall. Immediate support on the downside lies near the $98,500 level.
The first major support is located near $98,000. The next support is near the $96,200 area. Any further losses could push the price towards the $95,500 support in the short term.
Technical indicators:
Hourly MACD – The MACD is currently accelerating in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently below the 50 level.
The main support is at $98,000, followed by $96,500.
Major resistance levels – $101,000 and $102,000.
