Bitcoin price is still struggling below the $43,250 resistance zone. If BTC stays below $43,500 for long, there is more downside risk.
- Bitcoin price is still trading in the $41,500 range.
- The price is trading below $43,250 and the 100-hour simple moving average.
- On the hourly chart of the BTC/USD pair (data feed from Kraken), a break occurred below the main ascending channel with support around $42,880.
- The pair now faces further downside risk below the $41,500 support.
Bitcoin price turns red
Bitcoin price began a consolidation phase in the $41,500 area. BTC recovered a few points, but bearers remained active near the $43,250 and $43,500 levels.
The last swing high before the price began a new downward trend was close to $43,568. There was a clear move below the $43,000 level. Moreover, a break occurred below the main ascending channel with support around $42,880 on the hourly chart of the BTC/USD pair.
Bitcoin is currently trading below $43,250 and the 100-hour simple moving average. It is attempting to recover above the $42,500 level again.
On the other hand, the price is finding resistance near $42,800. It is close to 50% of the Fib retracement level of the recent decline from the $43,568 swing high to the $42,190 low. The first major resistance is at $43,000. Currently, major resistance is forming near the $43,250 level.
Source: TradingView.com BTCUSD
The 76.4% Fib retracement level of the recent decline from the $43,568 swing high to the $42,190 low is also close to $43,250. A clear break above the $43,250 resistance may lead the price to move towards the $44,000 resistance. The next resistance is now forming near the $44,250 level. Prices could rise further above the $44,250 level. The next major resistance level is $45,000.
Will there be more losses in BTC?
If Bitcoin fails to rise above the $43,250 resistance zone, it could begin a new downtrend. Immediate support for the downside is near the $42,120 level.
The next major support is at $41,450. The price could gain bearish momentum if it closes below $41,450. If indicated, the price may fall towards the $40,000 support level in the near term.
Technical indicators:
Hourly MACD – MACD is now picking up speed in bearish territory.
Hourly Relative Strength Index (RSI) – The RSI for BTC/USD is now below the 50 level.
Key support levels – $42,120, then $41,450.
Key resistance levels – $43,000, $43,250 and $44,000.
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