Bitcoin is down more than 5% and it broke the $6,000 support against the US Dollar. BTC price is now showing bearish signs and it could continue to move down.<\/p>\n
After a decent upward move, bitcoin struggled to gain momentum above the $6,500 resistance against the US Dollar. BTC price made a couple of attempts to settle above $6,500, but it failed.<\/p>\n
As a result, there was a fresh decline below the $6,200 support and the 100 hourly simple moving average. The price gained bearish momentum and traded below the $6,000 support.<\/p>\n
A new weekly low is formed near the $5,694 level and bitcoin is currently consolidating losses. It is trading above the 23.6% Fib retracement level of the recent decline from the $6,471 high to $5,694 low.<\/p>\n
There are many hurdles on the upside, starting with the $6,000 level. The first major hurdle is near the $6,080 level and the 100 hourly simple moving average. The 50% Fib retracement level of the recent decline from the $6,471 high to $5,694 low is also near $6,080.<\/p>\n
More importantly, there is a key contracting triangle forming with support near $5,780 on the hourly chart of the BTC\/USD pair. To move into a positive zone, the price must clear the triangle resistance and $6,080.<\/p>\n
Bitcoin Price<\/p>\n
The next hurdle is near the $6,200 level, above which the bulls are likely to aim a retest of the key $6,500 resistance area in the near term.<\/p>\n
If bitcoin fails to recover above the $6,000 and $6,080 resistance levels, it could continue to move down. An initial support is near the $5,800 and $5,780 levels.<\/p>\n
A clear break below the triangle support and $5,700 may perhaps spark more downsides. The next support is near the $5,500 level, below which it could continue to move down towards $5,200 in the near term.<\/p>\n
Technical indicators:<\/p>\n
Hourly MACD The MACD is attempting a change in slope to the bullish zone.<\/p>\n
Hourly RSI (Relative Strength Index) The RSI for BTC\/USD is currently below the 50 level, with a bearish angle.<\/p>\n
Major Support Levels $5,780 followed by $5,500.<\/p>\n
Major Resistance Levels $6,000, $6,080 and $6,200.<\/p>\n
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