Bitcoin Drops 2.5% Below $106,200 Zone Facing Resistance

Bitcoin's price has recently experienced a decline, falling below the $106,200 zone. The cryptocurrency is currently consolidating and facing resistance near the $105,500 zone. This downward trend has been marked by a clear move below the $105,500 support level, with the price testing the $103,500 zone and forming a low at $103,400. Despite a minor recovery wave, the bears remain active below the $105,500 zone, keeping Bitcoin trading below this level and the 100 hourly Simple moving average.

On the hourly chart of the BTC/USD pair, a key bearish trend line is forming with resistance at $105,200. Immediate resistance is near the $105,200 level, with the first key resistance at $105,500. The next key resistance could be $106,150, which is near the 50% Fib retracement level of the downward move from the $108,924 swing high to the $103,400 low. A close above the $106,150 resistance might send the price further higher, potentially testing the $108,800 resistance level and even rising toward the $110,000 level.

However, if Bitcoin fails to rise above the $105,500 resistance zone, it could start another decline. Immediate support is near the $104,200 level, with the first major support at $103,500. The next support is near the $102,650 zone, and any more losses might send the price toward the $101,200 support in the near term. The main support sits at $100,000, below which BTC might gain bearish momentum.

Technical indicators suggest that the Hourly MACD is now losing pace in the bearish zone, while the Hourly RSI (Relative Strength Index) for BTC/USD is near the 50 level. Major support levels are at $104,200 and $103,500, while major resistance levels are at $105,500 and $106,200. The current sideways action in Bitcoin's price reflects the ongoing struggle to reclaim resistance levels, with the cryptocurrency facing significant challenges in its attempt to move higher.