Bitcoin price extended losses after it traded below $114,000. BTC is now consolidating losses and might decline further to test the $110,500 support zone.
Bitcoin started a fresh decline below the $114,000 zone.
The price is trading below $114,000 and the 100 hourly Simple moving average.
There is a bearish trend line forming with resistance at $113,600 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair might start another increase if it clears the $114,000 zone.
Bitcoin Price Starts Consolidation
Bitcoin price failed to stay above the $115,500 zone and started a fresh decline. BTC declined below the $115,000 and $114,000 support levels to enter a short-term bearish zone.
The decline gained pace below the $113,500 level. A low was formed at $111,557 and the price is now consolidating losses below the 23.6% Fib retracement level of the recent decline from the $117,920 swing high to the $111,557 low.
Bitcoin is now trading below $113,200 and the 100 hourly Simple moving average. Besides, there is a bearish trend line forming with resistance at $113,600 on the hourly chart of the BTC/USD pair.
Immediate resistance on the upside is near the $113,000 level. The first key resistance is near the $113,500 level and the trend line. The next resistance could be $114,000. A close above the $114,000 resistance might send the price further higher.
In the stated case, the price could rise and test the $114,750 resistance level or the 50% Fib retracement level of the recent decline from the $117,920 swing high to the $111,557 low. Any more gains might send the price toward the $115,500 level. The next barrier for the bulls could be $116,250.
Another Decline In BTC?
If Bitcoin fails to rise above the $114,000 resistance zone, it could start a fresh decline. Immediate support is near the $112,000 level. The first major support is near the $111,750 level.
The next support is now near the $110,500 zone. Any more losses might send the price toward the $108,800 support in the near term. The main support sits at $107,500, below which BTC might gain bearish momentum.
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 – $112,000, followed by $111,750.
Major Resistance Levels – $113,600 and $114,000.
