After bitcoin had recently made a decent upward move, it struggled to gain momentum above the $6,500 resistance. All attempts made by the BTC price to settle above $6,500 proved futile. This resulted in a fresh decline below the $6,200 support and the 100 hourly simple moving average (SMA). The bears gained momentum and pushed the price further below the $6,000 support.
A new weekly low was formed close to the $5,694 level and the price is currently consolidating losses. BTC is now trading above the 23.6% Fib retracement level of the recent downtrend from the $6,471 high to $5,694 low.
On the upside, there are many resistances. The first hurdle is seen near the $6,080 level and the 100 hourly SMA. The 50% Fib retracement level of the recent downtrend from the $6,471 high to $5,694 low is also near $6,080, serving as a resistance.
Notably, there is a formation of a key contracting triangle, with support around $5,780, on the BTC/USD hourly chart. The price must successfully break the triangle resistance and $6,080 before it can begin any decent uptrend.
The next major resistance is also seen near the $6,200 level. A successful break above this level could likely lead to a retest of the key $6,500 resistance area in the near term. If the bulls fail to push the price above the $6,000 and $6,080 resistance levels, BTC could continue its downward movement.
On the downside, an initial support is seen around the $5,800 and $5,780 levels. A clear break below the triangle support and $5,700 may perhaps pave way for more downsides. The next major support is also around the $5,500 level, below which BTC could continue its downward movement towards $5,200 in the near term.
The hourly MACD for the BTC/USD pair is attempting a change in slope to the bullish zone. The hourly RSI (Relative Strength Index) for the pair is currently below the 50 level, with a bearish angle. Major support levels are at $5,780 and $5,500, whereas major resistance levels are also seen at $6,000, $6,080 and $6,200.