Bitcoin price extended its rally above $66,000. BTC is now retracing gains below $65,500 and may further decline to $64,000.
- Bitcoin adjusts gains from the $66,500 zone.
- The price is trading below $65,250 and the hourly moving average is 100.
- There was a break below the short-term bullish line with support at $65,750 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair can start another rise if it stays above the $64,000 support area.
Bitcoin Price Begins Lower Correction
Bitcoin price remained supported near the $63,250 level. BTC extended its rise above the $65,500 resistance area. It even cleared the $66,000 level.
A high was formed at $66,452 and the price is now correcting gains. There was a decline below the $66,000 level. The price dropped below the 23.6% Fib retracement level of the upward move from the swing low of $62,672 to the swing high of $66,452.
There was a break below the short-term bullish line with support at $65,750 on the hourly chart of the BTC/USD pair. Bitcoin is now trading below $65,500 and the 100 hourly moving average.
The bulls are now trying to defend the $64,500 position. If there is a new rally, the price may face resistance near the $65,250 level. The first key resistance is near the $65,500 level. A clear move above the $65,500 resistance could send the price higher.
The next key resistance would be $66,500. A close above the $66,500 resistance could trigger further upside. In the mentioned case, the price can rise and test the resistance level of $68,000.
More Losses in BTC?
If Bitcoin fails to rise above the $65,500 resistance area, it can continue to decline. Immediate support on the downside is near the $64,200 level and the 61.8% Fib retracement level to the upside from the $62,672 swing low to $66,452 high.
The first major support is near the $64,000 level. The next support is now near the $63,500 area. Another loss could send the price to the $62,650 support in the near term.
Technical indicators:
Hourly MACD – The MACD is now gaining momentum in bearish territory.
Hourly RSI (Relative Strength Index) – RSI for BTC/USD is now below the 50 level.
Major Support Levels – $64,200, followed by $64,000.
Grand Objection Levels – $65,250, and $65,500.