Yesterday, the BTC/USD pair extended its downtrend below the $9,200 support level. The price tested the main $9,000 support level and settled well below the 100 hourly simple moving average (SMA). A new weekly low was formed close to $8,991 before the price recently started an upside correction. It recovered above the $9,150 and $9,200 levels to move into a positive zone.
Moreover, there was a break above the 23.6% Fib retracement level of the recent decline from the $9,660 high to $8,991 low. The BTC price is currently trading in a range and consolidating above the $9,200 level. The hourly MACD for the pair is slowly moving in the bearish zone. Its hourly RSI (Relative Strength Index) is still below the 50 level.
On the upside, an initial resistance is seen close to the $9,300 and $9,330 levels. There is also a key contracting triangle forming on the BTC/USD hourly chart, with resistance near $9,330. This triangle resistance is near the 50% Fib retracement level of the recent decline from the $9,660 high to $8,991 low.
If the BTC bulls manage to break the $9,300 and $9,330 resistance levels, they are likely to test the next resistance at $9,400. Any further gains could perhaps lead the price towards the 100 hourly SMA or the $9,500 resistance, where the bears are likely to take control.
On the other hand, the BTC price might start a fresh decline if it fails to stay above the triangle support and $9,200. An initial support below the $9,200 level is seen close to $9,150. The next major support on the downside is near the $9,000 level. A successful daily close below the $9,000 support level could pave way for another sharp decline. In such bearish scenario, the price might drop towards the $8,500 support level in the near term.