Bitcoin price started to decline below the $27,500 support level. BTC is now showing many bearish signs below the $27,400 pivot level.

  • Bitcoin started a fresh decline below the key $27,500 support area.

  • The price is trading below $27,550 and the 100 hourly simple moving average.

  • There is a major bearish trend line formed with resistance near $27,500 on the hourly chart of the BTC/USD pair (data source from Kraken).

  • The pair could move higher, but the upside is likely to be limited above the $27,500 resistance.

Bitcoin price drops again

Bitcoin price failed to start a fresh increase above the $28,000 resistance. BTC started a fresh decline and it traded below the key $27,500 support area.

There was a clear break below the $27,400 level and the 100 hourly simple moving average. The price even declined below the $27,000 level and approached the $26,500 support. A low was formed near $26,571 and the price is now consolidating losses.

Bitcoin price is trading below $27,550 and the 100 hourly simple moving average. There is also a major bearish trend line forming with resistance near $27,500 on the hourly chart of the BTC/USD pair.

An immediate resistance on the upside is near $26,920. It is close to the 50% Fib retracement level of the recent decline from the $27,287 swing high to $26,571 low. The next major resistance is near $27,100.

The said resistance is close to the 76.4% Fib retracement level of the recent decline from the $27,287 swing high to $26,571 low. The main resistance is near the $27,500 level.

An upside breakout and close above $27,500 could start a steady rise towards $28,000. If the bulls manage to clear the $28,000 resistance area, it could push the price towards the $28,500 resistance area.

BTC Loses More?

If the price of bitcoin fails to clear the $27,100 resistance, it is likely to continue to decline. An immediate support on the downside is near $26,550.

The next major support is near the $26,500 area, below which the price is likely to gain bearish momentum. In the mentioned case, the price could decline towards the $26,000 support.

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 below the 50 level.

Major Support Levels – $26,550 and then $26,500.

Major Resistance Levels – $27,100, $27,400 and $27,500.