Bitcoin Still Struggling to Surpass $6,000, All Two Attempts Failed
After witnessing a bloody decline over the week, bitcoin price recovered above $5,000 and $5,500 against the USD. The price seems to be forming a decent support base above the $5,000 level, but it is also facing resistances near the 100 hourly simple moving average (SMA).
During the recent upward move, there was a break above a connecting bearish trend line with resistance at $5,325 on the BTC/USD pair hourly chart. Although, bitcoin is struggling to climb above the $6,000 resistance, all the two attempts made have failed. The 50% Fib retracement level of the major spike from the $7,988 high to $3,935 low is also acting as a barrier.
It seems like there is a double top pattern forming close to the $6,000 resistance level. If the price successfully breaks below the $5,100 and $5,000 support levels, the bears are likely to take control. The next pivot is seen around the $4,800 level, below which the price is likely to decline further towards the $4,400 level in the near term.
If bitcoin remains well traded above the $5,000 support area, it could make another attempt to surpass $6,000. There is also a formation of a key bearish trend line, with resistance around $5,650, on the same hourly chart of the pair. A successful break above the trend line, the 100 hourly SMA, and the $6,000 hurdle is important to begin any decent rally in the coming sessions.
The hourly MACD for the BTC/USD pair is now gaining pace in the bearish zone. The hourly RSI (Relative Strength Index) for the pair is currently flat below the 50 level. Major support levels are at $5,100 and $5,000, whereas major resistance levels are also seen at $5,650, $5,800 and $6,000.