Yesterday, the BTC price witnessed a sharp decline below the $6,800 resistance level. The price even extended its downtrend and traded below the $6,700 level. A new monthly low was therefore formed at $6,559, but the price is currently making an upward correction and trading above the $6,800 level.

Moreover, there was a break above the 23.6% Fib retracement level of the recent decline from the $7,220 high to $6,559 low. The price is now trading near a major resistance at $6,900 and the 100 hourly SMA. The 50% Fib retracement level of the recent decline from the $7,220 high to $6,559 low is also near the $6,888 level, acting as a strong resistance.

If BTC manages to surpass the 100 hourly SMA, the price is likely to face resistances near the $6,950 and $7,000 levels. There is also a key bearish trend line forming, with barriers near $7,100, on the BTC/USD pair hourly chart.

On the upside, the price is clearly facing a lot of resistances, starting with $6,900 through to $7,100. To begin a decent uptrend, the bulls need to gain momentum above the $7,000 resistance and then settle above $7,100. The next major resistance on the upside is near the $7,500 level.

On the downside, if BTC fails to continue above the $6,900 resistance or the 100 hourly SMA, it could begin a fresh decline. An initial support is close to the $6,750 area, a successful break below this level could start a major decline. The next support is close to the $6,560 level, below which the price could likely test the $6,200 support level in the near term.

Technical Indicators:

The hourly MACD for the pair is currently struggling to gain pace in the bullish zone. Its hourly RSI (Relative Strength Index) is now just above the 50 level. Major support levels are $6,750 and $6,560, whereas major resistance levels are $6,900, $6,950 and $7,100.