Bitcoin price initiated a short-term downside correction from the $106,250 zone. BTC is consolidating above $100,000 and could target a new rally.
- Bitcoin started a downside correction from the $106,250 zone.
- The price is trading below $103,500 and the 100 hourly simple moving average.
- There was a break below a major bullish trend line with support at $104,650 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair may initiate another rally if it remains above the $100,000 support zone.
Bitcoin is valued at $100K
The price of Bitcoin started a Appropriate upward steps Above the $100,000 zone. BTC was able to climb above the $102,500 and $103,800 levels.
A high was made at $106,246 and the price started recently Downside correction. There was a decline below the $104,000 and $103,500 levels. Additionally, there was a break below a major bullish trend line with support at $104,650 on the hourly chart of the BTC/USD pair.
A low was made at $99,538 and the price is now moving higher. The $106,246 swing high to $99,538 low was a move above the 23.6% Fib retracement level of the recent decline.
Bitcoin price is now trading below $103,800 and the 100 hourly simple moving average. On the upside, immediate resistance is near the $102,000 level. The first key resistance is near the $103,000 level or the 50% Fib retracement level of the recent decline from the $106,246 swing high to the $99,538 low.
A clear move above the $103,000 resistance could send the price higher. The next major resistance could be $104,650. A close above the $104,650 resistance could send the price higher. In the mentioned case, the price may rise and test the $106,250 resistance level. Any further gains could send the price towards the $108,500 level.
More losses in BTC?
If Bitcoin fails to break above the $103,000 resistance zone, it could initiate a downside correction. Immediate support on the downside is near the $100,500 level. The first major support is near the $100,000 level.
The next support is now near the $98,800 zone. Any further losses could send the price towards the $96,500 support in the near term.
Technical Indicators:
Hourly MACD – MACD is now losing momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Main support level – $100,500, $100,000 thereafter.
Key resistance levels – $103,000 and $104,650.
