Bitcoin extended the decline below the $ 44,000 level against the US dollar. BTC continues to run the risk of other drawbacks unless it breaks above $ 45,000.
- Bitcoin began a sharp decline below the key support zone of $ 45,500.
- The price is trading below $ 44,000 and the 100-hour simple moving average.
- A major bearish continuation pattern is forming on the hourly chart of the BTC / USD pair (data feed from Kraken) with resistance near USD 43,500.
- The pair could face resistance if it breaks above $ 44,000.
Bitcoin price remains at risk
Bitcoin price started falling sharply below the $ 46,500 and $ 45,000 support levels. BTC remained in a bearish zone and there has been a move below the $ 44,000 mark.
The price settled below the $ 43,500 level and the 100-hour simple moving average. There was a significant move below the $ 43,000 level and the price traded as low as $ 42,424. It is now consolidating losses above the $ 42,500 mark.
Immediate resistance is near the $ 43,500 mark. It is near the 23.6% Fib retracement level of the recent decline from the high of $ 47,065 to the low of $ 42,424. An important bearish continuation pattern is also forming on the hourly chart for the BTC / USD pair with resistance near $ 43,500.
The first major resistance to the upside is near the $ 44,500 mark. The next major resistance is near the $ 44,750 mark. It is near the 50% Fib retracement level of the recent decline from the high of $ 47,065 to the low of $ 42,424.
Source: BTCUSD on TradingView.com
A significant move above the USD 44,750 resistance zone could trigger a decent rally. The next big resistance is near the $ 45,600 mark and the 100-hour SMA, above which the bulls could gain strength.
Other disadvantages of BTC?
If Bitcoin can’t bounce back above $ 44,500, it could go further down. Immediate support is near the $ 42,650 zone. The first big support is at $ 42,500 and the recent low.
A break below the $ 42,424 low could push the price further down. In the named case, the price could potentially drop towards the $ 40,000 mark in the short term.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the upward zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC / USD is now below the 50 level.
Major Support Levels – $ 42,500, followed by $ 40,000.
Main Resistance Levels – $ 43,500, $ 44,000, and $ 44,750.
