Bitcoin Struggles to Clear Resistance
The price of Bitcoin is currently facing resistance at the $27,500 level. Although it is trading above $26,800 and the 100 hourly Simple Moving Average, it has been unable to break through this key resistance point. On the hourly chart of the BTC/USD pair, a bullish trend line is forming with support near $26,810.
Bitcoin Price Faces Rejection
Despite a few attempts to surpass the $27,500 resistance zone, Bitcoin has failed to gain momentum and has slowly declined after the Fed interest rate decision. The Federal Reserve’s decision to keep rates steady at 5.5% did not have a significant impact on Bitcoin. As a result, the price is now moving lower and has dropped below the $27,200 level.
The downward movement was accompanied by a break below the 50% Fibonacci retracement level of the upward move from the $26,656 swing low to the $27,495 high. However, Bitcoin is still trading above $26,800 and the 100 hourly Simple Moving Average.
Potential Upside for Bitcoin
If Bitcoin manages to stay above the bullish trend line near $26,810, there is a possibility of another upward move. The immediate resistance on the upside is around the $27,280 level. A breakthrough above this level could pave the way for further gains and potentially push the price towards the $28,200 and $29,500 resistances. If bullish momentum continues, Bitcoin may even reach the $30,000 level in the coming days.
Downside Risk for Bitcoin
If Bitcoin fails to surpass the $27,280 resistance and instead continues its downward movement, there is immediate support near the $26,855 level. This level corresponds to the 76.4% Fibonacci retracement level of the upward move from the $26,656 swing low to the $27,495 high. The next major support is around the $26,800 level and the bullish trend line. A break below this level could trigger further bearish moves, with the next support at $26,200.
Technical Indicators
The hourly MACD is indicating a loss of momentum in the bullish zone, while the hourly RSI (Relative Strength Index) for BTC/USD is now below the 50 level.
Source: BTCUSD on TradingView.com
Hot Take: Bitcoin Faces Resistance as Bulls Struggle to Gain Momentum
Bitcoin’s price is currently experiencing resistance at the $27,500 level. Despite trading above key support levels and a bullish trend line, Bitcoin has been unable to break through this resistance point. The recent Fed interest rate decision did not have a significant impact on Bitcoin’s price movement. However, if Bitcoin manages to maintain its position above the support levels and break through the resistance zones, there is potential for further upside and a push towards higher resistance levels. On the other hand, a failure to break through resistance could result in downside risk and a decline towards lower support levels.
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