Bitcoin Price Holds Support: Ready to Spring Back?

Bitcoin price remained supported above the $94,200 zone. BTC is forming a base and might start a fresh increase above the $98,000 resistance.

Bitcoin started a fresh decline below the $98,000 support zone.
The price is trading below $97,500 and the 100 hourly Simple moving average.
There is a key bearish trend line forming with resistance at $97,800 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could regain momentum if it closes above the $98,000 resistance zone.

Bitcoin Price Stays Above Support

Bitcoin price extended losses below the $98,000 support zone. There was a move below the $96,500 support. The price even spiked below $95,000.

A low was formed at $94,314 and the price is now consolidating losses. There was a recovery wave above the $96,650 level. The price climbed above the 61.8% Fib retracement level of the downward wave from the $98,267 swing high to the $94,314 low.

Bitcoin price is now trading below $98,000 and the 100 hourly Simple moving average. On the upside, the price could face resistance near the $97,500 level. It is close to the 76.4% Fib retracement level of the downward wave from the $98,267 swing high to the $94,314 low.

The first key resistance is near the $98,000 level. There is also a key bearish trend line forming with resistance at $97,800 on the hourly chart of the BTC/USD pair.

A clear move above the $98,000 resistance might send the price higher. The next key resistance could be $98,800. A close above the $98,800 resistance might send the price further higher. In the stated case, the price could rise and test the $100,000 resistance level. Any more gains might send the price toward the $102,000 level.

Another Decline In BTC?

If Bitcoin fails to rise above the $98,000 resistance zone, it could start another downside correction. Immediate support on the downside is near the $96,500 level.

The first major support is near the $95,000 level. The next support is now near the $94,250 zone. Any more losses might send the price toward the $92,000 support in the near term.

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 – $96,500, followed by $95,000.

Major Resistance Levels – $98,000, and $98,800.

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