Bitcoin Price Slumps 5%, Bearish Momentum Returns With Force

Bitcoin price failed to stay above $68,000 and dipped sharply. BTC is now consolidating losses and might struggle to recover above $66,000.

Bitcoin started a fresh decline and traded below the $66,500 support.
The price is trading below $66,500 and the 100 hourly simple moving average.
There was a break below a bullish trend line with support at $68,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair might dip again if it trades below the $64,500 and $64,200 levels.

Bitcoin Price Dives Over 5%

Bitcoin price failed to remain stable above the $67,200 zone. BTC started a fresh decline and traded below the $66,500 support zone. There was a push below $66,000.

The price even spiked below $65,000. There was also a break below a bullish trend line with support at $68,000 on the hourly chart of the BTC/USD pair. A low was formed at $64,203, and the price is now correcting some losses. There was a move above $64,500, but the price is still well below the 23.6% Fib retracement level of the recent decline from the $68,653 swing high to the $64,203 low.

Bitcoin is now trading below $66,500 and the 100 hourly simple moving average. If the price remains stable above $64,200, it could attempt a fresh increase. Immediate resistance is near the $65,250 level.

The first key resistance is near the $66,400 level or the 50% Fib retracement level of the recent decline from the $68,653 swing high to the $64,203 low. A close above the $66,400 resistance might send the price further higher. In the stated case, the price could rise and test the $67,000 resistance. Any more gains might send the price toward the $67,600 level. The next barrier for the bulls could be $68,000 and $68,500.

Another Decline In BTC?

If Bitcoin fails to rise above the $66,000 resistance zone, it could start another decline. Immediate support is near the $64,400 level. The first major support is near the $64,200 level.

The next support is now near the $63,500 zone. Any more losses might send the price toward the $62,850 support in the near term. The main support now sits at $62,000, below which BTC might struggle to recover in the near term.

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 – $64,500, followed by $64,200.

Major Resistance Levels – $66,000 and $66,500.

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