Bitcoin price started a recovery wave above $85,000.
BTC is now struggling to clear a major resistance at $86,000 and might decline again.
Bitcoin Price Faces Key Resistance
After forming a base above the $80,000 level, Bitcoin price started a recovery wave. There was a move above the $81,550 and $82,800 resistance levels. The price even cleared the $85,000 resistance zone before the bears appeared.
BTC failed to clear stay above the $88,000 resistance zone and remained well below the 50-day simple moving average (blue). It seems like the bulls failed to push the price above a major bearish trend line with current resistance at $86,000 on the daily chart.
Bitcoin price is now correcting gains below the $86,000 pivot level. There was a move below the 50% Fib retracement level of the upward move from the $77,041 swing low to the $88,868 high.
The price tested the $81,500 support zone. The bulls were active near the 61.8% Fib retracement level of the upward move from the $77,041 swing low to the $88,868 high. The current price action is still bearish and BTC seems to be facing a couple of major hurdles near the same trend line and $86,000.
A clear move above the trend line resistance could decrease the bearish pressure. The first major resistance above the trend line is seen near the $88,000 zone and the 50-day simple moving average (blue).
The main resistance could be near the $88,800 zone. A close above the $88,800 resistance might spark more upsides. The next stop BTC price could be the $92,400 level, above which the price could rise toward the $95,000 level.
A daily close above the $95,000 resistance zone could push the price toward the $98,000 level. Any more gains might call for a test of $100,000.
Another Decline In BTC?
Conversely, Bitcoin price might struggle to clear $86,000 or $88,000 and start another decline. Immediate support on the downside is near the $83,200 level.
The first major support is near the $81,500 level. A downside break and close below the $81,500 support might spark more losses and send the price further lower. In the stated case, Bitcoin could test the $80,000 support. The next key support could be $77,000, below which BTC might slide toward the $75,000 zone.
Overall, Bitcoin is facing a major hurdle near $86,000 and $88,000. If BTC stays below $88,000, there could be a fresh decline toward the $80,000 support.