The price of Bitcoin is correcting the increase from the area of $73,500. BTC has fallen back below $70,000 and is showing a few bearish signs.
Bitcoin has begun a new decline from the level of $73,500.
The price is trading below $71,500 and the 100-hour simple moving average.
There has been a breakdown of an important bullish trend line with support at $70,000 on the hourly chart of the BTC/USD pair (data from Kraken).
This currency pair is showing a few bearish signs and may test the support area at $68,500.
The price of Bitcoin is cutting down the increase.
The price of Bitcoin failed to trade at a new all-time high and began to correct from the resistance area of $73,500. There was a move down below the support levels of $72,500 and $72,000.
The price has dropped below the 50% Fib retracement level of the upward wave from a low of $65,531 to a high of $73,575. In addition, there has been a breakdown below the important bullish trend line with support at $70,000 on the hourly chart of the BTC/USD pair.
The price has dropped more than 5% and has moved below $70,000. The price of Bitcoin is currently trading below $70,000 and the 100-hour simple moving average. Currently, the price is approaching the support area at $68,500 and the 61.8% Fib retracement level of the upward wave from a low of $65,531 to a high of $73,575.
The positive side is that the price may encounter resistance near $70,000. The first important resistance is near $70,500. A clear move above the resistance at $70,500 could push the price higher. The next important resistance could be $71,200.
A close above the resistance at $71,200 could initiate more bullish phases. In that case, the price could rise and test the resistance level at $72,500. Any further bullish moves could bring the price to the resistance at $73,200. Any further bullish moves could lead to a test at $73,500.
Are there more downsides for BTC?
If Bitcoin cannot surpass the resistance area at $70,000, it may continue to decline. Immediate support on the downside is near $68,800.
The first key support level is near $68,500. The next support level is currently near the area of $67,400. Any further losses could push the price down to the support level of $66,500 in the near future.
Technical indicators:
Hourly MACD – The MACD is currently accelerating in the bearish zone.
Hourly Relative Strength Index (RSI) – The RSI for BTC/USD is currently below 50.
Key support level – $68,500, followed by $67,400.
Key resistance level – $70,000 and $71,200.