Bitcoin Price Recovery at Risk: Sellers Ready to Regain Control

Bitcoin has initiated a recovery wave, rising above $67,500. However, it currently faces challenges as it consolidates below $68,800.

Key Takeaways

Bitcoin has begun a recovery above $67,000.
The price currently trades above $67,000 and the 100-hour simple moving average.
A rising channel is forming with resistance at $68,800 on the hourly chart for the BTC/USD pair (data sourced from Kraken).
If Bitcoin prices remain below $68,500 and $68,800, we might see another decline.

Bitcoin Price Recovery at Risk

Bitcoin Price Seeks Recovery

Bitcoin has established a base above $65,500 and entered a recovery wave. It successfully settled above $66,000, marking a shift into a positive short-term trend. The price moved above the $67,200 resistance zone, and the bulls even surpassed the 38.2% Fibonacci retracement level from the downward move between the swing high of $71,986 and the low of $65,030. However, sellers have begun to make their presence felt near the $68,500 resistance area.

Currently, Bitcoin trades above $67,000 and the 100-hour simple moving average. If the price can maintain stability above $67,000, it may see an attempt to push higher. The immediate resistance lies around the $68,500 level, which coincides with the 50% Fibonacci retracement level from the previous downward movement.

Bitcoin Price Source: BTCUSD on TradingView.com

The first significant resistance is around the $68,800 level. The hourly chart of the BTC/USD pair also suggests a rising channel with resistance at this level. A close above $68,800 could propel the price higher, potentially testing the $69,250 resistance. Further gains could lead the price towards $69,500, with the bulls setting their sights on the $70,000 mark.

Potential for Another Drop in BTC?

If Bitcoin is unable to rise above the $68,800 resistance, it may face a decline. Immediate support is found at approximately $67,000, with primary support levels around $66,800. If the downtrend continues, Bitcoin could find itself heading towards the $65,800 support level in the near term. The most critical support stands at $65,000; if Bitcoin drops below this threshold, a recovery could become increasingly difficult.

Technical Indicators:

Hourly MACD: The MACD is losing momentum in the bullish region.
Hourly RSI (Relative Strength Index): The RSI of BTC/USD is currently above the 50 mark.
Major Support Levels: $67,000 and $65,800.
Major Resistance Levels: $68,500 and $68,800.