Bitcoin Sell-Off Continues — Downside Momentum Builds Across Crypto Market

Bitcoin price is gaining bearish pace below $108,800. BTC could continue to move down if it stays below the $109,500 resistance.

Bitcoin started a fresh decline below the $109,000 support.
The price is trading below $108,000 and the 100 hourly Simple moving average.
There is a bearish trend line forming with resistance at $109,400 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair might continue to move down if it trades below the $105,000 zone.

Bitcoin Price Dips Further

Bitcoin price failed to stay above the $110,000 support level and started a fresh decline. BTC dipped below $109,000 and $108,800 to enter a bearish zone.

The decline was such that the price traded below the 76.4% Fib retracement level of the upward move from the $106,310 swing low to the $111,000 high. Besides, there is a bearish trend line forming with resistance at $109,400 on the hourly chart of the BTC/USD pair.

Bitcoin is now trading below $108,000 and the 100 hourly Simple moving average. BTC tested the 1.236 Fib extension level of the upward move from the $106,310 swing low to the $111,000 high.

If the bulls attempt a recovery wave, the price could face resistance near the $108,200 level. The first key resistance is near the $108,800 level. The next resistance could be $109,500 and the trend line. A close above the $109,500 resistance might send the price further higher. In the stated case, the price could rise and test the $110,000 resistance. Any more gains might send the price toward the $111,500 level. The next barrier for the bulls could be $112,000 and $112,500.

More Losses In BTC?

If Bitcoin fails to rise above the $108,800 resistance zone, it could continue to move down. Immediate support is near the $106,200 level. The first major support is near the $105,500 level.

The next support is now near the $105,000 zone. Any more losses might send the price toward the $104,200 support in the near term. The main support sits at $103,500, below which BTC might struggle to recover in the short 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 – $106,200, followed by $105,500.

Major Resistance Levels – $108,800 and $109,500.

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