Bitcoin Price Holds Steady, Support Remains Strong—for Now

Bitcoin's price recently dipped below $88,000 but is working to recover from losses around the $86,700 support level. Despite challenges, there's potential for a rebound.

Key Takeaways

Bitcoin price is making a recovery attempt from a low of $86,700.
The price has climbed back above $88,000 and is currently above the 100 hourly Simple Moving Average.
A significant bullish movement occurred after breaking a resistance level at $87,300.
Continued stability above $87,500 could lead to further gains, with the next resistance levels identified.

Bitcoin Price Attempts Rebound

Bitcoin Price Remains Firm Above Key Support Levels

Bitcoin's price made an effort to rise above the $88,500 mark but was unable to maintain that momentum, resulting in a dip beneath $88,000. However, buyers were active near the $86,700 zone, helping to lift the price back up.

A low was established at $86,700, and recently, Bitcoin has started a new upward trend. This movement included a rise past the $88,000 resistance and the 50% Fibonacci retracement level from the previous high of $90,298 down to the low of $86,700.

Additionally, Bitcoin broke through a declining channel with a resistance level at $87,300, as seen on the BTC/USD hourly chart. Currently, Bitcoin is trading above $88,000 and the 100 hourly Simple Moving Average.

If Bitcoin can hold steady above the $87,500 level, it may launch into a new recovery wave. The immediate resistance to watch is at the $88,500 mark, with significant resistance at $88,900, which corresponds to the 61.8% Fibonacci retracement level from the earlier mentioned price range.

Bitcoin Price Source: BTCUSD on TradingView.com

The next notable obstacle for Bitcoin could be the $89,500 resistance. Should the price close above this level, it might further rally towards the $90,200 resistance. Continued gains may take the price even higher, targeting $90,500, with additional resistance at $91,200 and $91,500.

Risks of a Decline in BTC Price

If Bitcoin struggles to break through the $89,000 resistance zone, it might face a new decline. Initial support is located at $87,850, with significant support following at $87,500.

Should Bitcoin fall further, the next support zone is around $86,700. Any continued losses could result in the price heading down towards the $85,500 support, with critical support ultimately sitting at $85,000. Below this level, Bitcoin could potentially drop even further in the near term.

Technical Indicators

Hourly MACD: The MACD is gaining traction within the bullish range.
Hourly RSI (Relative Strength Index): The RSI for BTC/USD is currently above the 50 threshold.
Major Support Levels: $87,500 and $86,700.
Major Resistance Levels: $88,500 and $89,000.

By monitoring these levels, traders can get a clearer picture of Bitcoin’s potential movements in the near future.