Bitcoin price extended its rise above the USD 67,500 resistance. BTC tested the USD 68,000 resistance and is currently correcting gains.
- Bitcoin started a downward correction after climbing towards the $68,000 resistance zone.
- The price is trading below $67,000 and the 100 hourly Simple Moving Average.
- There was a break below a connecting bullish trendline with support at $65,900 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could rise again unless the bears push it below $65,900.
Bitcoin Price Begins Downward Correction
Bitcoin price remained stable above the USD 66,500 level. BTC extended its rise above the USD 67,200 and USD 67,500 resistance levels. It traded to a new weekly high at $67,984 and recently started a downward correction.
There was a move below the $67,000 support zone. Moreover, there was a break below a connecting bullish trendline with support at $65,900 on the hourly chart of the BTC/USD pair. The pair even fell below the $66,500 support zone.
Bitcoin price is now trading below $67,000 and the 100 hourly Simple Moving Average. A low was formed at $65,922 and the price is now trying to make a new increase.
There was a move above the USD 66,200 level. The price climbed above the 23.6% Fib retracement level of the downward correction from the $67,984 swing high to the $65,922 low. The price is now facing resistance near the USD 66,500 level and the 100 hourly Simple Moving Average.
The first major resistance could be at $66,950. It is close to the 50% Fib retracement level of the downward correction from the $67,984 swing high to the $65,922 low. The next major resistance could be at USD 67,500. A clear move above the USD 67,500 resistance could push the price higher. In the mentioned case, the price could rise and test the USD 68,000 resistance.
If the bulls remain in action, the price could rise towards the USD 68,800 resistance zone. Any further gains could send BTC towards the $70,000 mark.
Another drop in BTC?
If Bitcoin fails to climb above the USD 66,500 resistance zone, it could continue to decline. The immediate downside support is near the $66,000 level and the trendline.
The first major support is at $65,500. The main support is now near $64,500. Any further losses could send the price towards the $63,150 support zone in the near term.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Major support levels – USD 65,900, followed by USD 65,500.
Major resistance levels – $66,500, $67,000 and $67,500.