Bitcoin Price Retreats Lower Again – Is This Just a Healthy Dip?

Bitcoin price failed to extend gains above $117,750. BTC is now moving lower and might even test the $113,200 support zone.

Bitcoin started a fresh decline below the $115,500 zone.
The price is trading below $115,500 and the 100 hourly Simple moving average.
There is a connecting bearish trend line forming with resistance at $115,200 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair might start another increase if it clears the $116,000 zone.

Bitcoin Price Dips Again

Bitcoin price started a fresh upward wave above the $116,500 zone. BTC managed to climb above the $116,800 and $117,500 resistance levels before the bears appeared.

A high was formed at $117,920 and the price started a fresh decline. There was a move below the $116,500 and $115,500 levels. The decline gained pace below the $115,000 level. A low was formed at $114,237 and the price is now consolidating losses below the 23.6% Fib retracement level of the recent decline from the $117,920 swing high to the $114,237 low.

Bitcoin is now trading below $115,500 and the 100 hourly Simple moving average. Besides, there is a bearish trend line forming with resistance at $115,200 on the hourly chart of the BTC/USD pair.

Immediate resistance on the upside is near the $115,000 level. The first key resistance is near the $115,250 level. The next resistance could be $116,000 or the 50% Fib retracement level of the recent decline from the $117,920 swing high to the $114,237 low.

A close above the $116,000 resistance might send the price further higher. In the stated case, the price could rise and test the $116,500 resistance level. Any more gains might send the price toward the $116,800 level. The next barrier for the bulls could be $117,250.

More Losses In BTC?

If Bitcoin fails to rise above the $116,000 resistance zone, it could start a fresh decline. Immediate support is near the $114,250 level. The first major support is near the $113,500 level.

The next support is now near the $113,250 zone. Any more losses might send the price toward the $112,500 support in the near term. The main support sits at $110,500, below which BTC might decline heavily.

Technical indicators:

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

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

Major Support Levels – $114,250, followed by $113,250.

Major Resistance Levels – $115,000 and $116,000.

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