Bitcoin Price Attempts Recovery But Here’s Why Its Path Is Fill With Challenges

Bitcoin price is slowly moving higher above $26,000. BTC is showing signs of recovery but is still struggling to clear the $26,500 resistance zone. Bitcoin is up 2% and trading above the $26,000 resistance zone. The price is trading well above $26,000 and the 100 hourly Simple moving average. There was a break above a key bearish trend line with resistance near $25,940 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair could struggle to clear the $26,500 and $26,750 resistance levels. Bitcoin Price Avoids Downside Break Bitcoin price managed to stay above the $25,350 support zone. BTC bulls protected a major downside break and pushed the price above the $25,850 resistance. There was a move above the $26,000 resistance zone. Besides, there was a break above a key bearish trend line with resistance near $25,940 on the hourly chart of the BTC/USD pair. The pair even climbed toward the $26,500 resistance zone where the bears appeared. A high is formed near $26,487 and the price is now consolidating gains. It traded below the 23.6% Fib retracement level of the recent increase from the $25,609 swing low to the $26,487 high. Bitcoin is now trading well above $26,000 and the 100 hourly Simple moving average. Immediate resistance on the upside is near the $26,400 level. The first major resistance is near the $26,500 level. A proper close above the $26,500 level might start a decent increase. Source: BTCUSD on TradingView.com The next major resistance is near $27,000, above which the bulls could gain strength. In the stated case, the price could test the $28,000 level. Are Dips Now Limited In BTC? If Bitcoin fails to clear the $26,500 resistance, it could start a downside correction. Immediate support on the downside is near the $26,100 level. The next major support is near the $26,000 level or the 50% Fib retracement level of the recent increase from the $25,609 swing low to the $26,487 high. A downside break and close below the $26,000 level might increase selling pressure. In the stated case, the price could drop toward $25,500 or even $25,350. Technical indicators: Hourly MACD – The MACD is now losing pace in the bullish zone. Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level. Major Support Levels – $26,100, followed by $26,000. Major Resistance Levels – $26,400, $26,500, and $27,000.