- Bitcoin price still holds at $64,900, as the $65,340 area continues to act as resistance.
- The BIP-110 fork created only two blocks and lagged 48 blocks behind the Bitcoin blockchain.
- Weak mining power might result in the minority blockchain having to wait for months for a difficult adjustment.
Bitcoin price remained near $64,900 as the market consolidated below the $65,000 level while a separate development unfolded on the network after supporters of BIP-110 created a minority chain.
The cryptocurrency was trading at $64,876.95, down 0.05% over 24 hours, after recovering from a low near $64,700. On the 4-hour chart, Bitcoin remained above several technical support levels but continued to face resistance around $65,000 and $65,340.
At the same time, the BIP-110 chain produced only two blocks several hours after separating from the main Bitcoin network, leaving it significantly behind the primary chain in block production.
Bitcoin Price Consolidates Below $65,000
The Bitcoin price has remained in a narrow range after recovering from the $62,216 area shown on the 4-hour chart.
The chart identifies $65,340 as a key resistance level. Additional Fibonacci resistance levels are marked at $65,156, $65,484 and $65,812. The upper Bollinger Band is positioned near $65,281, while the Bollinger midline is around $64,750.
The moving averages also provide several nearby support levels. The EMA readings shown on the chart are $64,724, $64,385, $64,221 and $64,173. Bitcoin was trading above these levels at the time represented in the chart.
Source: Trading View
The RSI stood at 57.26, keeping the indicator above the neutral 50 level while remaining below the overbought zone shown on the chart.
Key Bitcoin Price Levels
- Resistance is marked at $65,340, followed by $65,484 and $65,812.
- Nearby support levels include $64,750, $64,724 and $64,385.
- The major lower support shown on the chart is $62,216.
A move above $65,340 would place Bitcoin above the identified resistance level, while a decline below $64,173 would put the price below the lowest EMA shown on the chart.
BIP-110 Fork Falls Behind Main Bitcoin Chain
The Bitcoin network also saw a minority chain emerge after BIP-110 supporters split from the main chain on Saturday. The separation occurred at block 961,632, when computers running BIP-110 software began rejecting blocks that did not signal support for the proposal.
About eight hours after the split, the minority chain had produced only two blocks. At around 6 a.m. UTC, it was at block 961,633, while the main Bitcoin chain had reached block 961,681. That left the alternative chain 48 blocks behind the primary network.
BIP-110 proposes preventing people from storing pictures, text and other non-financial data inside Bitcoin transactions for one year. Supporters of the proposal argue that such activity can use network space and increase costs for users making financial transactions.
Opponents maintain that users who pay transaction fees have the right to use available block space for their chosen purposes. They also oppose miners and node operators determining which transactions should be accepted.
Mining Power Creates Difficulty for Fork
The stalled BIP-110 chain faces a mining difficulty issue. Bitcoin adjusts mining difficulty every 2,016 blocks to maintain a target of roughly 10 minutes between blocks.
The minority chain inherited Bitcoin’s existing mining difficulty but has only a small share of the computing power supporting the network. As a result, blocks on the fork are being produced at longer intervals.
The chain cannot adjust its mining difficulty until it reaches the next 2,016-block threshold. The BIP-110 situation monitor estimated that the minority chain was approximately 350 days from reaching that point, compared with about 14 days for the main Bitcoin chain.
AntPool mined the first non-signaling block accepted by the main network, while a miner using Ocean produced the alternative block followed by BIP-110 nodes. Both AntPool and Ocean operate as mining pools that combine computing resources from multiple operators and distribute mining rewards.
FAQs
What is the key Bitcoin price resistance?
The chart identifies $65,340 as the key resistance level.
What is the main downside support shown?
The chart identifies $62,216 as the major lower support level.
When did the BIP-110 chain split occur?
The split occurred at block 961,632 when BIP-110 nodes began rejecting non-signaling blocks.
How far behind was the minority chain?
The BIP-110 chain was 48 blocks behind the main Bitcoin chain at around 6 a.m. UTC.
