Bitcoin price peaked near the USD 49,000 resistance zone. BTC started a big decline and broke many key supports at $45,000 to enter a short-term bearish zone.
- Bitcoin peaked near the $49,000 level and began a steady decline.
- The price is trading below $43,500 and the 100 hourly Simple Moving Average.
- A connecting bearish trendline is forming with resistance near $42,850 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start a new decline if a move below the $41,500 support zone occurs.
Bitcoin price takes a big hit
Bitcoin price failed to test the USD 50,000 resistance zone. BTC peaked near the $49,000 level and began a major decline. There was a sharp decline below the USD 48,000 and USD 46,500 support levels.
The bears even pushed the price below the $45,000 support zone. It fell more than 12% and tested the USD 41,500 support zone. A low was formed near $41,476 and the price started a recovery wave. There was a small increase above the USD 42,000 resistance zone.
However, Bitcoin is still trading below $43,500 and the 100 hourly Simple Moving Average. On the upside, immediate resistance is around the $42,800 level.
A connecting bearish trendline is also forming with resistance around $42,850 on the hourly chart of the BTC/USD pair. The first major resistance is $43,250 or the 23.6% Fib retracement level of the downward move from the $49,000 swing high to the $41,476 low.
Source: BTCUSD on TradingView.com
A clear move above the USD 43,250 resistance could send the price towards the USD 44,000 resistance. The next resistance is now forming near the $45,200 level. It is close to the 50% Fib retracement level of the downward move from the $49,000 swing high to the $41,476 low. A close above the $45,300 level could trigger a strong surge and send the price higher. The next major resistance is at $47,000.
Lose more in BTC?
If Bitcoin fails to rise above the USD 43,250 resistance zone, it could start a new decline. The immediate downside support is near the $42,120 level.
The next major support is $41,500. If a move occurs below $41,500, the price could gain bearish momentum. In the mentioned case, the price could fall towards the $40,000 support in the short term.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Major support levels – USD 42,120, followed by USD 41,500.
Major resistance levels – $42,800, $43,250 and $44,000.
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