Bitcoin has started to dip below the $105,500 zone. BTC is currently consolidating and struggling to maintain above the support level of $103,200.

  • Bitcoin has started a new dip below the levels of $106,500 and $105,500.

  • The price is trading below $106,500 and the simple moving average of 100 hours.

  • There is a significant downtrend line forming with resistance at $106,600 on the hourly chart of the BTC/USD pair (data from Kraken).

  • This currency pair could start a new recovery wave if it breaks through the resistance zone of $105,500.

Bitcoin price drops sharply

The Bitcoin price has started to decline again after failing to break through the resistance zone of $110,500. BTC has fallen below the support levels of $107,500 and $106,500.

The price has even fallen below the support level of $104,200. Eventually, it tested the $103,000 zone. A low was formed at $103,078 and the price is currently consolidating losses below the 23.6% Fib level of the recent decline from the swing high of $110,273 to the low of $103,078.

Bitcoin is currently trading below $105,500 and the simple moving average of 100 hours. Additionally, there is a significant downtrend line forming with resistance at $106,600 on the hourly chart of the BTC/USD pair.

On the positive side, immediate resistance is near $104,200. The first important resistance is near $105,500. The next significant resistance could be $106,600 and the 50% Fib retracement of the recent decline from the high of $110,273 to the low of $103,078.

A close above the resistance level of $106,600 could push the price higher. In that case, the price could rise and test the resistance level of $108,000. Any further increase might push the price to $110,000.

Are there any further losses in BTC?

If Bitcoin fails to break through the resistance zone of $105,500, it may start another downturn. Immediate support is near $103,000. The first major support is near $102,350.

The next support level is now near the $101,500 zone. Any further losses could push the price down to the support level of $100,500 in the near future. The major support lies at $100,000, below which BTC could gain downward momentum.

Technical indicators:

Hourly MACD – The MACD is currently accelerating in the bearish zone.

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

Key support level – $103,000, followed by $102,350.

Key resistance levels – $104,200 and $105,500.