Bitcoin Price Attempts a Comeback: Can the Recovery Hold?

Bitcoin price is consolidating above the $95,500 support zone. BTC is showing a few positive signs and might attempt a recovery if it clears $100,000.

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

• The price is trading below $99,000 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 clears the $100,000 zone.

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Bitcoin Price Holds Support

Bitcoin price failed to continue higher above the $102,500 zone. It started another decline below the $99,000 zone. BTC gained bearish momentum for a move below the $98,500 and $96,500 levels.

A low was formed at $95,700 and the price recently started a consolidation phase. There was a minor increase above the $97,000 level. The price surpassed the 23.6% Fib retracement level of the downward move from the $102,500 swing high to the $95,700 low.

Bitcoin price is now trading below $98,500 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 $99,100 level or the 50% Fib retracement level of the downward move from the $102,500 swing high to the $95,700 low. 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 $101,200 resistance level. Any more gains might send the price toward the $102,500 level.

Another Decline 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 $96,200 level. The first major support is near the $95,500 level.

The next support is now near the $93,200 zone. Any more losses might send the price toward the $92,200 support in the near term. The main support sits at $90,900.

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 near the 50 level.

Major Support Levels – $96,200, followed by $95,500.

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