Bitcoin, another frustration 'here'... Is the rebound market ending like this?

▲ Bitcoin (BTC), decline, bear market / AI generated image

The recovery of Bitcoin (BTC) price lost momentum in front of the $78,000 resistance level. Bitcoin, which had attempted a short-term rebound, failed to hold above $77,500 and subsequently fell further. Analysis suggests that if it remains below $76,200 and $76,000, the decline could intensify.

According to NewsBTC on May 26 (local time), Bitcoin entered a downward correction from its high of $77,809 after failing to break through the $78,000 resistance zone. It subsequently fell below $77,500, and on the hourly chart, a breakout below the lower boundary of a converging triangle with a support line at $76,750 was also confirmed.

Bitcoin dipped below the Fibonacci 23.6% retracement level of its rally from the low of $74,209 to the high of $77,809. However, buying pressure defended above $76,000. The article explained that if Bitcoin maintains stability above $76,000, it could attempt another rally.

On the upside, $76,750 was presented as an immediate resistance level to overcome. The first key resistance is $77,200, and a close above this zone could lead to a test of the $77,800 resistance. If the upward trend continues, a retest of $78,000 is possible, and the next hurdle for buyers was presented as $79,500.

Downside risks still remain. If Bitcoin fails to overcome the $77,200 resistance zone, it could revert to a downward trend. The short-term support level is $76,000, which also coincides with the Fibonacci 50% retracement level of the rally from the low of $74,209 to the high of $77,809.

The first major support level was presented as $75,500, with the next support zone at $75,000. If further declines occur, it could temporarily fall to the $74,000 support level, and the key support level is at $73,500. The article analyzed that if Bitcoin falls below $73,500, a short-term recovery could become difficult.

Technical indicators also leaned towards a bearish outlook. The hourly Moving Average Convergence Divergence (MACD) is accelerating in the bearish zone, and the hourly Relative Strength Index (RSI) has fallen below 50. Key support levels were presented as $76,000 and $75,000, and key resistance levels as $77,200 and $78,000.

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