Bitcoin is experiencing uncertainty as its price fluctuates around crucial support levels. After failing to sustain gains above $113,200, the cryptocurrency is consolidating, and market participants are eagerly awaiting signals that a further decline may occur. 📈
Recent Price Activity:
Market data from Kraken reveals Bitcoin’s recovery from the $110,100 zone, briefly exceeding $110,800 and $111,500 before bulls pushed it above $112,500. However, selling pressure emerged near $113,200, capping the advance.
Following this rejection, Bitcoin slipped below $112,000 and formed a low at $110,820. It is now trading below $111,500 and the 100 hourly simple moving average while holding a bullish trend line with support near $111,000 on the hourly chart.
Possible Scenarios:
Resistance: The immediate resistance lies at $111,700, followed by $112,000. The next barrier is $112,300, which aligns with the 61.8 percent Fibonacci retracement level of the decline from $113,200 to $110,820. A decisive close above $112,300 could send Bitcoin toward $113,200 with further targets at $114,200 and $115,000 if buying momentum returns.
Support: If Bitcoin fails to clear $112,300, bearish momentum could resume. The first line of defense is at $111,000, followed by $110,800. A move below those levels would expose $110,200, potentially triggering a drop toward $108,800. The longer-term support remains at $107,500, and a break below that could trigger a sharper decline.
Technical Indicators:
Hourly MACD is losing strength in the bullish zone.
Hourly RSI for BTC/USD sits below 50, indicating weakening momentum.
Key Levels to Watch:
Support: $111,000, $110,200, $108,800
Resistance: $112,000, $112,300, $113,200.
Bitcoin’s price action is currently in a delicate balancing act. Whether it can regain momentum or face another correction will likely be determined by the next sessions.
Traders and investors should closely monitor $111,000 and $112,300 for potential direction signals.