The price of Bitcoin has remained supported above the $86,000 range. BTC is currently in a consolidation phase and may target a move above the $88,000 resistance level.
- Bitcoin initiated a fresh recovery wave above the $86,800 threshold.
- The price is currently trading below $87,200 and the 100 hourly Simple Moving Average.
- A significant bearish trend line is forming with resistance at $88,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair may see another increase if it surpasses the $88,000 and $88,200 levels.
Bitcoin Price Encountering Key Resistance
The price of Bitcoin has remained steady above the $85,500 mark. BTC has established a base and has recently started a recovery wave above the $86,500 resistance level.
The bulls successfully pushed the price over the $87,200 resistance level, even achieving a move above the 61.8% Fib retracement level from the decline between the $88,260 swing high and the $85,852 swing low. However, bears appear to be active beneath the $88,000 level.
Bitcoin is currently trading below $87,500 and the 100 hourly Simple Moving Average. The immediate resistance is near the $87,700 level and the 76.4% Fib retracement level from the decline between the $88,260 swing high and the $85,852 swing low.
The primary resistance is positioned around the $88,000 mark, where a key bearish trend line is forming. The subsequent major resistance could be at $88,250.
A close above the $88,250 resistance could propel the price higher. In this scenario, the price may rise to test the $88,800 resistance level. Further gains could drive the price towards $90,000 or even $90,500.
Potential Decline in BTC?
If Bitcoin does not manage to break above the $88,000 resistance zone, it may initiate a new decline. Immediate support on the downside is near the $86,800 level, while the first major support sits around $86,400.
The next support level is at approximately $85,850. Any further losses could lead the price towards the $85,000 support level in the short term, with the main support resting at $84,500.
Technical Indicators:
Hourly MACD – The MACD is currently gaining momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is presently below the 50 level.
Major Support Levels – $86,400, followed by $85,850.
Major Resistance Levels – $88,000 and $88,250.
