Bitcoin experienced bearish momentum at $40,000 below the US dollar. BTC faces more risks towards $37,200 or $36,600 levels.
- Bitcoin experienced a further decline to below $40,000 and $39,000 levels.
- The daily simple moving average is at the hourly low of $39,000, and it’s trading lower than that price.
- A key bearish trendline is emerging with resistance close to $39,000 in the hourly BTC/USD chart (data feed Kraken).
- If the bulls can push the price higher than $39,550 the pair will likely continue to fall.
Bitcoin’s Price Continues to Fall
Bitcoin prices struggled to remain above $40,000 support. BTC fell below the $39550 support zone, and also the 100-hourly simple moving average.
Below the 61.8% Fib Retracement level, the price fell from $42,550 swing high to $37160 swing low. The price is showing some bearish signals below the $39,000 and $39,200 support levels.
Bitcoin is currently testing the 76.4% Fib Retracement Level of the major increase, from $37160 swing low at $38,430 to $42,550 swing peak at $38,430. The price could face resistance at the $38,850 mark if there’s a slight recovery. Near the $39,000 level is the first significant resistance to the upside.
A key bearish trendline is also visible with resistance close to $39,000 in the hourly charts of BTC/USD. A clear break above $39,000 could lead to a further rise in the price.
Source: BTCUSD at TradingView.com
Next major resistance lies near the $39550 level. The 100-hourly SMA is also nearby. If the SMA rises above that, then there’s a chance of a sustained recovery above the $40,000 resistance area.
BTC: More losses
Bitcoin could move lower if it fails to break the $39550 resistance zone. The $38,400 area is a support zone for the downside.
Near the $38,000 mark is the next significant support. At $37,140 the main support is located near the swing low. The price could gain bearish momentum if it breaks below the $37.140 support. The price could plunge to $36,600, or even 36,000 in this scenario.
Technical indicators
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.
Major Support Levels – $38,000, followed by $37,140.
Major Resistance Levels – $39,000, $39,550 and $40,000.
