Bitcoin’s Downtrend Continues: Quick Technical Outlook
Bitcoin has failed to break through the $39,500 resistance level against the US dollar. BTC has begun a new decline and displays bearish signs below $38,000.
The Bitcoin Price Battle Continues
Bitcoin’s price began an upward correction above the $38,000 resistance level. BTC/USD was able to break through the $38,500 resistance level and the 100 hourly simple moving average. However, the price has struggled to rise above the $39,000 mark. It even managed to stay well below the $40,000 resistance level. A high was formed near $39,250, and the price began to fall again. The price fell sharply below $38,500 and the 100 hourly simple moving average.
Furthermore, on the hourly chart of the BTC/USD pair, there was a break below a key rising channel with support near $38,250. Bitcoin has traded below $37,000, with a low near $36,673.
It is currently consolidating losses and facing resistance near $37,280. The stated resistance is near the 23.6 percent Fib retracement level of the recent drop from the $39,250 swing high to the $36,673 low. The additional significant resistance is located around the $38,000 level.
The 50% Fib retracement level of the recent decline from the $39,250 swing high to the $36,673 low and the 100 hourly simple moving average are both near $38,000. A clear break above the $38,000 resistance level could send the price as high as $39,000. To gain bullish momentum, the price must close above $39,500.
More Bitcoin losses?
If Bitcoin fails to initiate a recovery wave above the $37,280 resistance level, it may continue to fall. On the downside, there is immediate support near $36,650. The next major support level is seen near $36,300. If the price breaks below the $36,300 support zone, it may gain bearish momentum towards $35,000. Good luck!
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