Bitcoin price remains in the downtrend as it fails to break the strong resistance level at US$4,080. During press time, the BTC/USD level is trading at US$3,916, below the psychologically crucial US$4,000 level.
Near-Term Bitcoin Price Analysis – A Synopsis
The two highlighted key bearish trend lines of yesterday are still active. On the BTC/USD hourly chart, strong resistance levels are active near US$4,000 and US$4,090. However, the Bitcoin price analysis shows that the general BTC/USD price trend remains downward moving.
In the near term, BTC-USD pair can witness extended losses below the US$3,800 level. Bitcoin price against the US Dollar hovers within the bearish zone until it remains below the US$4,020 level. The extent of loss could accelerate if the BTC price level breaks below the support level at US$3,740.
Bitcoin Price – Technical Analysis
The Bitcoin price against the US Dollar recently recovered above the US$3,920 resistance level. However, currently, that level has already being breached downwards. A break above the 50% Fibonacci retracement level of the last decline from the high at US$4,199 to low at US$3,737 was also witnessed. The upside movement was capped at the resistance level at US$4,080 as well as the 100 hourly SMA.
BTC price also failed to break above US$4,080 and the 61.8% Fibonacci retracement level of the last decline from the high at US$4,199 high to low at US$3,737. That’s when the fresh decline started and the Bitcoin price moved below the crucial levels at US$4,000 and US$3920.
It is currently hovering around the US$3,900 level with a bearish angle. If a bear run gets started in the near term, it can go down to US$3,800 with the immediate strong support level at US$3,740. If this support level is broken, the BTC/USD price has high chances of breaking below the US$3,700 level.
The major technical indicators point to the bearish movement of Bitcoin price. BTC-USD pair’s MACD is located within the bearish zone. The Hourly Relative Strength Index (RSI) is also moving below the 40 level. While major support level is located at US$3,740, the major resistance level is located at US$4,020. The Bitcoin price analysis chart is showing that the price may face multiple hurdles around the psychologically relevant US$4,000 level. Only a clear close above US$4,150 level will ensure near-term upward trend.
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