Bitcoin price has started a downward correction below the $70,000 level. BTC is currently testing support at $68,800 and may attempt a novel rally.

• Bitcoin extended its decline below the $70,000 support zone.
• The price is above $68,000 and Simple’s 100-hour moving average.
• On the hourly chart of the BTC/USD pair, a connecting bearish trend line is forming with resistance at $70,000 (fed by data from Kraken).
• The pair may begin another rally unless a close below $68,800 occurs.

Bitcoin Price Visits Support Again

Bitcoin price has started a downward correction after it breached the $71,500 level. A novel weekly high was formed at $71,896, and the price has recently begun a downward correction.

The price dropped below the $70,000 level and tested the 50% Fib retracement level of the bullish wave from a low of $66,046 to a high of $71,896. There was also a jump below the support zone at $68,800. The bulls are currently busy near the $68,800 zone.

Bitcoin price is currently above $68,000 and the 100-hour plain moving average. The price is currently facing resistance near the $69,650 level. The first major resistance may be $70,000. A connecting bearish trend line is also forming on the hourly chart of the BTC/USD pair with resistance at $70,000.

The next key resistance could be $70,500. A clear move above the resistance at $70,500 could result in a price rally. In this case, the price could move higher and test the resistance at $71,200.

If the bulls push the price even higher, there could be a move towards the resistance zone at $71,800. Any further gains could push BTC towards the resistance at $72,500.

Breaking the decline in BTC?

If Bitcoin fails to rise above the $70,000 resistance zone, it may continue to decline. Immediate downside support is located near the $69,000 level.

The first major contribution is $68,800. The next support is currently forming near $67,420, or 76.4% of the Fib retracement level of the rising wave from the low of $66,046 to the high of $71,896. Any further losses could push the price towards the $66,000 support zone in the near future.

Technical Indicators:

Hourly MACD – The MACD is currently losing momentum in a bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently below the 50 level.

Main support levels – $69,000, then $68,800.

Major resistance levels – $70,000, $70,500 and $71,200.