Bitcoin price remained stable above the $16,000 support zone. BTC could start a decent recovery wave if there is a clear move above the 100 hourly SMA.
Bitcoin remained well bid above the $16,000 and $15,800 support levels.
The price is trading below $17,000 and the 100 hourly simple moving average.
There is a major bearish trend line forming with resistance near $16,800 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could start a recovery wave if it clears the $17,000 resistance zone.
Bitcoin Price Faces Hurdles
Bitcoin price reacted to the downside once again after it failed to clear the $17,200 zone. BTC declined below the $17,000 and $16,500 levels. It even spiked below the $16,200 level.
However, the bulls were active above the $16,000 support zone. A low was formed near $16,164 and the price started a slow increase. There was a move above the $16,400 and $16,500 levels. The price cleared the 50% Fib retracement level of the recent decline from the $17,149 swing high to $16,154 low.
Bitcoin price is now trading below $17,000 and the 100 hourly simple moving average. It is testing the 61.8% Fib retracement level of the recent decline from the $17,149 swing high to $16,154 low.
On the upside, an immediate resistance is near the $16,800 level. There is also a major bearish trend line forming with resistance near $16,800 on the hourly chart of the BTC/USD pair, and the 100 hourly simple moving average. A clear move above the $17,000 resistance might push the price further higher.
Source: BTCUSD on TradingView.com
The next major resistance is near $17,200, above which the price could test the $17,750 zone. Any more gains might send the price towards the $18,000 resistance zone.
Fresh Decline in BTC?
If bitcoin fails to start a recovery wave above the $17,000 resistance zone, it could continue to move down. An immediate support on the downside is near the $16,400 level.
The next major support is near the $16,150 zone. A clear move below the $16,150 support might push the price further lower. In this case, the price may perhaps decline towards the $15,550 support zone.
Technical indicators:
Hourly MACD – The MACD is now gaining pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major Support Levels – $16,150, followed by $15,550.
Major Resistance Levels – $16,800, $17,000 and $17,500.
