Bitcoin Maintains Crucial Support, Yet Upside Challenges Persist

Bitcoin Price Wobbles Below Resistance Bitcoin's price has entered a new phase of decline beneath $88,000, with attempts to recover facing potential obstacles around this crucial level.

Key Takeaways:

Bitcoin has dropped below the $88,000 threshold and is currently struggling to regain upward momentum.
The price trades below $87,500 and the 100-hour Simple Moving Average.
A short-term bearish trend line was broken, revealing resistance at $86,000 on the hourly chart for the BTC/USD pair.
Should Bitcoin settle below $85,500, further declines may follow.

Bitcoin's Struggle for Recovery

Following an inability to maintain levels above $90,000, Bitcoin's price has begun a fresh decline. It fell sharply under $88,500 and $88,000, with bears driving the price even lower, breaking below the $86,500 mark. The lowest point recorded was $83,870, but now the market is attempting to correct these losses. It has made an upward move beyond the $85,000 threshold, climbing past the 23.6% Fib retracement level from the downward move that began at the $91,928 high to the recorded low of $83,870.

Additionally, there has been a break above a bearish trend line marked at $86,000 on the hourly BTC/USD chart. Currently, Bitcoin is trading below $88,000 and the 100-hour Simple Moving Average. If buyers remain active, there could be a chance for another rally. Immediate resistance lies near the $87,250 mark, with the primary key resistance at the crucial $88,000 level, representing the 50% Fib retracement from the earlier mentioned swing high to low.

Bitcoin Price Source: BTCUSD on TradingView.com The next resistance could emerge around $88,500. A successful close above this level could propel the price further upward. In such a scenario, the price may test the resistance at $90,000. Further gains could see Bitcoin approaching the $91,500 level, with the bulls encountering hurdles at $92,000 and $92,500.

Potential for Another BTC Decline

Should Bitcoin struggle to break above the $88,000 resistance zone, it may initiate another decline. Immediate support is situated near $85,500, followed by significant support at $85,000. The upcoming support zone is around $83,500. Additional losses beyond this could push the price down to $82,500 in the near term, with critical support resting at $81,200. Falling below this level could lead to a more accelerated decline.

Technical Indicators:

Hourly MACD: The MACD is now losing momentum within the bearish zone.
Hourly RSI (Relative Strength Index): The RSI for the BTC/USD pair is currently holding above the 50 mark.

Major Support Levels: $85,500, followed by $85,000.

Major Resistance Levels: $87,250 and $88,000.