Bitcoin price is down more than 12% from the $9,241 swing high. BTC/USD is currently recovering from $7,735, but it is likely to face sellers near $8,200 and $8,250.
In the past 4-5 sessions, the bitcoin price faced a strong rise in selling below the $8,500 level. BTC/USD traded below many key supports near $8,400 and $8,250 to enter a negative zone.
Looking at the 1-hour chart, the price even spiked below the $8,000 support and settled below the 25 simple moving average (1-hour, orange). The price traded as low as $7,735 and it is currently correcting higher.
The market data is provided by TradingView, Bitfinex.
It is back above $7,850 and approaching the $8,000 and $8,050 resistance levels. The 23.6% Fib retracement level of the downtrend move from the $9,241 high to $7,735 low is near the $8,090 level to act as a major hurdle.
It seems like the bitcoin price is facing many hurdles near $8,100 and two bearish trend lines on the 1-hour chart. The first key barrier for the bulls is near the $8,250 level and the second bearish trend line.
Above the trend line, the 25 simple moving average (1-hour, orange) is positioned near the $8,400 level. The main resistance is now near the $8,500 level since it is close to the 50% Fib retracement level of the downtrend move from the $9,241 high to $7,735 low.
Therefore, an upside correction in bitcoin is likely to face many hurdles, starting with $8,050 and up to $8,500.
On the downside, initial support is near the $7,800 and $7,750 levels, below which BTC price is likely to decline towards the $7,500 support area in the near term. Any further losses may perhaps lead the price towards $7,200.