Bitcoin Price Just Saw Technical Correction, Can Bulls Save The Day?

Bitcoin price is correcting gains from $28,400. BTC must stay above the $27,500 support to start a fresh increase in the near term.

Bitcoin is correcting gains below the $28,000 support zone.
The price is trading above $27,500 and the 100 hourly Simple moving average.
There was a break below a major bullish trend line with support near $27,720 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could start a fresh increase if the bulls manage to protect the $27,500 support.

Bitcoin Price Corrects Lower

Bitcoin price started a decent increase above the $28,000 resistance zone. However, BTC struggled to clear the $28,400 and $28,500 resistance levels.

A high was formed near $28,450 and the price started a downside correction. There was a move below the $28,000 support zone. The price declined below the 50% Fib retracement level of the upward move from the $27,142 swing low to the $28,450 high.

Besides, there was a break below a major bullish trend line with support near $27,720 on the hourly chart of the BTC/USD pair. Bitcoin price is still trading above $27,500 and the 100 hourly Simple moving average.

It is finding bids near the 61.8% Fib retracement level of the upward move from the $27,142 swing low to the $28,450 high. Immediate resistance on the upside is near the $27,800 level. The next major resistance is near the $28,000 level.

Source: BTCUSD on TradingView.com

An upside break above $28,000 might send the price toward the main resistance at $28,500. A close above the $28,500 resistance zone might start a strong increase toward the $29,200 resistance zone. The next key resistance is near $29,400, above which the price might rise toward the $30,000 resistance.

More Losses in BTC?

If Bitcoin’s price fails to clear the $28,000 resistance, it could continue to move down. Immediate support on the downside is near the $27,580 level.

The next major support is near the $27,500 zone, below which the price might gain bearish momentum. In the stated case, the price could decline toward the $27,150 support and the 100 hourly Simple moving average.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bearish zone.

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

Major Support Levels – $27,580, followed by $27,500.

Major Resistance Levels – $28,000, $28,400, and $28,500.

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