13 September 2023
Bitcoin price struggled again near the $26,500 resistance. BTC is forming a double-top pattern and could revisit the $25,000 support zone.
Bitcoin recovered above $26,000 but struggled to clear $26,500.
The price is trading above $25,800 and the 100 hourly Simple moving average.
There is a short-term contracting triangle forming with resistance near $26,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could start another decline if it breaks the $25,550 support zone.
Bitcoin Price Faces Uphill Task
Bitcoin price started a decent increase above the $26,000 resistance zone. BTC climbed above the $26,200 resistance level but the bears were again active near the $26,500 resistance.
The price failed to settle above the $26,500 resistance level. A high was formed near $26,528 and the price started a downside correction. It seems like there is a double-top pattern forming near the $26,500 zone. The price is now trading below the 23.6% Fib retracement level of the upward move from the $24,925 swing low to the $26,528 high.
However, Bitcoin is now trading above $25,800 and the 100 hourly Simple moving average. Besides, there is a short-term contracting triangle forming with resistance near $26,000 on the hourly chart of the BTC/USD pair.
Source: BTCUSD on TradingView.com
Immediate resistance on the upside is near the $26,000 level. The first major resistance is near the $26,200 level. The main resistance is near the $26,500 level. A proper close above the $26,500 level might start a decent increase. The next major resistance is near $27,200, above which the bulls could gain strength. In the stated case, the price could test the $28,000 level.
Another Decline In BTC?
If Bitcoin fails to start a fresh increase above the $26,000 resistance, it could continue to move down. Immediate support on the downside is near the $25,800 level.
The next major support is near the $25,550 level or the 61.8% Fib retracement level of the upward move from the $24,925 swing low to the $26,528 high. A downside break and close below the $25,550 level might call for more downsides. In the stated case, the price could drop toward $25,000 or even $24,800.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now near the 50 level.
Major Support Levels – $25,800, followed by $25,550.
Major Resistance Levels – $26,000, $26,200, and $26,500.