Bitcoin started a new decline from the $43,400 area against the US Dollar. BTC remains at risk of further downside below the $41,500 level.
- Bitcoin started a new decline after it failed to cross $43,400.
- The price is now trading below $42,200 and the 100 hourly simple moving average.
- There is a major bearish trend line forming with resistance near $43,200 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start a strong decline if there is a clear move below the $41,500 level.
Bitcoin price turns red
Try bitcoin price Correction upside Above the $42,500 level. BTC surged above the $43,000 level, but it faced strong selling interest near $43,400.
The price also struggled to stay above the $43,000 level and the 100 hourly simple moving average. As a result, there was a fresh drop below the $42,500 support area. The price gained bearish momentum and traded below $42,000.
They are now trading at less than $42,200 and 100-hour simple moving average. There is also a major bearish trend line forming with resistance near $43,200 on the hourly chart of the BTC/USD pair.
The bottom was formed near $41,805 and the price is now consolidating losses. There is an immediate resistance on the upside near the $42,185 level. It is close to the 23.6% Fib retracement level of the recent decline of the $43,416 swing high of the $41805 low.
The next resistance might be near $42,600. It is near a pivotal area and the 50% Fib retracement level of the recent decline from the $43,416 swing high of $41,805 low. The main resistance is now forming near the $43,000 and the hourly 100 SMA.
Source: BTCUSD on TradingView.com
Bitcoin price must break the $42,600 and $43,000 resistance levels to start a proper rally. In the mentioned case, the price may rise towards the $43,600 resistance area.
More losses in bitcoin?
If Bitcoin fails to clear the $43,000 resistance area, it may continue to decline. There is immediate support on the downside near the $41,800 level.
The next major support is seen near the $41,500 level. A downside breakout below the $41,500 support area could accelerate losses. In the mentioned case, the price could drop towards the $40,500 support in the near term. The next major support might be $40,000.
Hourly MACD – The MACD is now gaining pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Key support levels – $41,500, followed by $40,500.
The key resistance levels are $42,600, $43,000 and $43,600.