Bitcoin Price Analysis

Bitcoin price started a recovery wave from the $85,000 zone. BTC is back above $87,500 and might struggle to clear the $92,000 resistance zone.

• Bitcoin began an upward move from the $85,000 zone.
• The price is trading below $90,000 and the 100 hourly Simple Moving Average.
• A short-term contracting triangle is forming with resistance at $89,650 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair may decline again if it fails to surpass the $92,000 resistance zone.

Bitcoin Price Faces Resistance

After a decline below $90,000, BTC traded below the $88,000 and $87,000 support levels, eventually testing the $85,000 support zone. A low was formed at $84,665, and the price subsequently initiated a recovery wave, moving above the $86,000 and $87,000 resistance levels. The bulls pushed the price toward the 50% Fibonacci retracement level from the downward move between the $92,741 swing high and the $84,665 low.

Currently, Bitcoin is trading below $90,000 and the 100 hourly Simple Moving Average. Immediate resistance is near $88,700, with key resistance at the $90,000 level. A short-term contracting triangle on the hourly chart shows resistance at $89,650, close to the 61.8% Fibonacci retracement level.

The next key resistance could be at $92,000. A close above this level may propel the price higher, potentially testing $93,500 or even pushing towards $95,000 or $96,200.

Risk of Another Decline

If Bitcoin cannot rise above the $90,000 resistance zone, it may initiate another decline. Immediate support is near $87,000, followed by major support at $86,200. Further losses might lead the price towards the $85,000 support, with the main support being at $80,000.

Technical Indicators

• Hourly MACD: Losing momentum in the bullish zone.
• Hourly RSI (Relative Strength Index): Below the 50 level.
• Major Support Levels: $87,000, $85,000.
• Major Resistance Levels: $90,000, $92,000.