Bitcoin Price Drops Again—Is $80K the Last Defense for Bulls?

Bitcoin price started a fresh decline below the $88,000 support. BTC must stay above the $80,000 zone to avoid more losses in the near term.

Bitcoin started a fresh decline from the $92,500 zone.
The price is trading below $88,000 and the 100 hourly Simple moving average.
There is a connecting bearish trend line forming with resistance at $86,150 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could start another decline if it fails to stay above the $82,000 zone.

Bitcoin Price Dips Further

Bitcoin price failed to stay above the $92,500 level and started a fresh decline. BTC declined heavily below the $90,000 and $88,000 support levels.

The price even dived below the $85,000 level. It tested the $80,000 zone. A low was formed at $80,525 and the price is now consolidating losses. It is back above the $83,500 level and the 23.6% Fib retracement level of the downward move from the $89,203 swing high to the $80,525 low.

Bitcoin price is now trading below $85,200 and the 100 hourly Simple moving average. On the upside, immediate resistance is near the $85,000 level or the 50% Fib retracement level of the downward move from the $89,203 swing high to the $80,525 low.

The first key resistance is near the $85,500 level. There is also a connecting bearish trend line forming with resistance at $86,150 on the hourly chart of the BTC/USD pair.

The next key resistance could be $87,150. A close above the $87,150 resistance might send the price further higher. In the stated case, the price could rise and test the $88,500 resistance level. Any more gains might send the price toward the $90,000 level or even $90,500.

Another Drop In BTC?

If Bitcoin fails to rise above the $86,000 resistance zone, it could start a fresh decline. Immediate support on the downside is near the $83,000 level. The first major support is near the $82,000 level.

The next support is now near the $81,200 zone. Any more losses might send the price toward the $80,000 support in the near term. The main support sits at $78,500.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $82,000, followed by $80,000.

Major Resistance Levels – $85,000 and $86,000.

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