Bitcoin price is consolidating above the $64,000 level. BTC could follow Ethereum and attempt a recovery if it clears the $65,650 resistance area.
- Bitcoin began a small recovery above the $65,000 level.
- The price is trading below $65,500 and the 100-hour simple moving average.
- On the hourly chart of the BTC/USD pair (data feed from Kraken), there is a short-term contraction triangle forming with resistance at $65,400.
- A break above the $65,400 and $65,650 resistance levels could signal a recovery.
Bitcoin price faces resistance
Bitcoin price extended losses and traded below the $65,000 level. BTC also tested the $64,000 zone. The low was formed at $64,050 and the price is currently correcting losses.
There was some recovery above the $64,500 level. The price recently broke above the 23.6% Fib retracement level of the decline from the $67,255 swing high to the $64,050 low. However, bears remain active near the $65,500 area.
Bitcoin is currently trading below $65,500 and the 100-hour simple moving average. On the hourly chart of the BTC/USD pair, there is also a short-term contraction triangle with resistance forming at $65,400.
On the other hand, the price is finding resistance near the $65,400 level and the triangle trend line. The first major resistance could be $65,650 or the 50% Fib retracement level of the recent decline from the $67,255 swing high to the $64,050 low. The next major resistance could be $66,000.
A clear break above the $66,000 resistance could mark the start of a steady rise and push the price higher. If indicated, the price could move higher to test the $66,550 resistance. Further gains could push BTC towards $67,500 resistance in the near term.
Another drop in BTC?
If Bitcoin fails to rise above the $65,650 resistance zone, another decline could begin. Immediate support for the downside is near the $64,850 level.
The first major support is $64,400. The next support is currently forming near $64,000. More losses could lead the price towards the $63,200 support area in the near term.
Technical indicators:
Hourly MACD – MACD is now losing speed in bearish territory.
Hourly Relative Strength Index (RSI) – The RSI for BTC/USD is now above the 50 level.
Key support level – $64,400, then $64,000.
Key resistance levels – $65,400 and $65,650.