Bitcoin price attempted a new upward breakout above the $43,500 resistance level. BTC failed and corrected lower to test the $41,800 support area.
- Bitcoin is correcting gains at the $43,500 resistance zone.
- The price is trading above $42,000 and the 100-hour simple moving average.
- The hourly chart of the BTC/USD pair (data feed from Kraken) shows a bearish trend line tying with resistance near $42,600.
- A break below the $41,650 support could continue the decline for the currency pair.
Bitcoin price falls again
Bitcoin price rose above the $42,000 resistance zone. BTC rose to the $43,000 level but faced a strong rejection near $43,500. It seems that the price has again failed to clear the $43,500 range.
A high was made near $43,464 and the price began a new decline. It has moved below the $42,800 and $42,500 support levels. Prices surged below the 50% Fib retracement level of the bullish wave from a swing low of $40,514 to a high of $43,464.
Bitcoin found support near the $41,800 level. It is currently trading above $42,000 and the 100-hour simple moving average. The price is also stable above the 61.8% Fib retracement level of the bullish wave from the $40,514 swing low to the $43,464 high.
On the other hand, immediate resistance is close to the $42,600 level. On the hourly chart of the BTC/USD pair, there is also a bearish trend line connecting with resistance near $42,600.
Source: TradingView.com BTCUSD
The first major resistance is forming near $43,000. The main resistance level is still near $43,500. A break above the $43,500 resistance could begin a steady rise. The next major resistance could be near $44,500, above which BTC could rise towards the $45,000 level.
Will there be more losses in BTC?
If Bitcoin fails to rise above the $42,650 resistance zone, it may continue to fall. Immediate support for the downside is near the $42,000 level.
The next major support is near $41,650. A drop below $41,650 risks further losses. If indicated, the price may decline towards the $40,500 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 close to the 50 level.
Key support levels – $42,000, then $41,650.
Key resistance levels – $42,650, $43,000 and $43,500.
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