Bitcoin Price Analysis: BTC Dips Again But Holds Key Support

• Bitcoin price started a fresh decline from the $27,500 zone against the US Dollar.
• The price is now trading below $27,000 and the 55 simple moving average (4 hours).
• There is a key bearish trend line forming with resistance near $26,350 on the 4-hour chart of the BTC/USD pair (data feed from Coinbase).
• The pair could start a fresh increase if it stays above the $25,850 support zone.

Bitcoin price is declining below $26,600 against the US Dollar. BTC might eye another increase if the bulls remain active above the $25,850 zone.

Bitcoin Price Analysis

Bitcoin price started a fresh decline from the $27,500 resistance zone. A high was formed near $27,499 before the price started a downside correction. There was a clear move below the $26,850 and $26,500 levels.

There was a move below the $26,300 level. The pair spiked below the 50% Fib retracement level of the upward move from the $24,900 swing low to the $7,499 high. It is now trading below $26,500 and the 55 simple moving average (4 hours).

Immediate resistance on the upside is near the $26,350 level. There is also a key bearish trend line forming with resistance near $26,350 on the 4-hour chart of the BTC/USD pair.

The next major resistance might be near the $26,880 zone. A clear move above the $26,880 level might send the price toward $27,500, above which the price might rise toward the $28,500 level. Any more gains might push the price toward the $30,000 zone.

If there is no upside break, the price might continue to decline below the $26,000 level. The first major support is $25,850. It is near the 61.8% Fib retracement level of the upward move from the $24,900 swing low to the $7,499 high.

The next key support is near the $25,500 level, below which the price might accelerate lower. In the stated case, the price could decline toward the $24,200 level. Any more losses might send the price toward the $23,500 level.

Looking at the chart, Bitcoin price is clearly trading below $26,500 and the 55 simple moving average (4 hours). Overall, the price could start a fresh increase if it stays above the $25,850 support zone.

Technical Indicators

4 hours MACD – The MACD is now gaining momentum in the bearish zone.

4 hours RSI (Relative Strength Index) – The RSI is now below the 50 level.

Key Support Levels – $26,000 and $25,850.

Key Resistance Levels – $26,350, $26,880, and $27,500.