Bitcoin Price Recovery Loses Steam: Are More Losses Ahead?

Bitcoin price started another decline below the $100,500 zone. BTC is trimming gains and might continue to move down toward the $95,000 zone.

• Bitcoin started a fresh decline below the $100,000 level.

• The price is trading below $98,800 and the 100 hourly Simple moving average.

• There is a connecting bearish trend line forming with resistance at $98,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).

• The pair could start another increase if it stays above the $95,000 zone.

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Bitcoin Price Dips Below $98,000

Bitcoin price failed to continue higher above the $102,500 zone. It started another decline below the $99,500 zone. BTC gained bearish momentum for a move below the $98,800 and $97,500 levels.

The bears pushed the price below the 50% Fib retracement level of the upward wave from the $91,000 swing low to the $102,500 high. The price even tested the $96,500 support zone and is currently consolidating losses with a bearish angle.

Bitcoin price is now trading below $98,800 and the 100 hourly Simple moving average. On the upside, immediate resistance is near the $98,000 level. There is also a connecting bearish trend line forming with resistance at $98,000 on the hourly chart of the BTC/USD pair.

The first key resistance is near the $99,500 level. The next key resistance could be $100,000. A close above the $100,000 resistance might send the price further higher. In the stated case, the price could rise and test the $102,500 resistance level. Any more gains might send the price toward the $103,500 level.

More Losses In BTC?

If Bitcoin fails to rise above the $98,000 resistance zone, it could start a fresh decline. Immediate support on the downside is near the $96,500 level. The first major support is near the $95,400 level or the 61.8% Fib retracement level of the upward wave from the $91,000 swing low to the $102,500 high.

The next support is now near the $93,700 zone. Any more losses might send the price toward the $95,000 support 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 – $96,500, followed by $95,000.

Major Resistance Levels – $98,000 and $100,000.