Bitcoin Price Stumbles at Resistance — Will the Dip Deepen?

Bitcoin price started a fresh decline below the $106,800 zone. BTC is now consolidating and facing resistance near the $106,200 zone.

• Bitcoin started a fresh decline below the $106,200 zone.
• The price is trading below $106,800 and the 100 hourly Simple moving average.
• There is a short-term triangle forming with support at $104,200 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair could start a fresh increase if it stays above the $103,500 zone.

Bitcoin price started a fresh decline after it failed to clear the $108,800 resistance zone. BTC dipped below the $108,000 and $107,000 levels.

There was a clear move below the $106,200 support level. Finally, the price tested the $103,500 zone. A low was formed at $103,400 and the price is now consolidating losses. There was a minor increase above the 23.6% Fib retracement level of the downward move from the $108,924 swing high to the $103,400 low.

Bitcoin is now trading below $106,800 and the 100 hourly Simple moving average. Besides, there is a short-term triangle forming with support at $104,200 on the hourly chart of the BTC/USD pair.

On the upside, immediate resistance is near the $105,200 level. The first key resistance is near the $105,500 level. The next key resistance could be $106,200. It is near the 50% Fib retracement level of the downward move from the $108,924 swing high to the $103,400 low.

A close above the $106,200 resistance might send the price further higher. In the stated case, the price could rise and test the $108,000 resistance level. Any more gains might send the price toward the $110,000 level.

If Bitcoin fails to rise above the $106,200 resistance zone, it could start another decline. Immediate support is near the $104,200 level. The first major support is near the $103,500 level.

The next support is now near the $102,500 zone. Any more losses might send the price toward the $101,200 support in the near term. The main support sits at $100,000, below which BTC might gain bearish momentum.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $104,200, followed by $103,500.

Major Resistance Levels – $105,500 and $106,200.