Bitcoin fell below the $46,000 level against the US Dollar. BTC continues to slide and may even reach the $43,200 support area.
- Bitcoin was down more than 4 percent and moved below the $46,000 resistance.
- It is currently trading at $45,500, below the simple 100-hour moving average.
- A break was seen below a crucial breakout pattern and support close to $46,800 in the hourly chart on the BTC/USD pairs (data feed Kraken).
- In the short term, the pair may continue to decline and push the $43,200 support area.
Bitcoin price drops below support
After it failed to maintain a price above $46,500, the Bitcoin price began a significant decline. BTC fell below $46,000 to enter a bearish zone.
The Fib retracement level at 50% of the uptrend from $44,470 swing low to $48,200 high was clearly below. The price fell below $45,500 and the simple 100-hour moving average.
A break was also observed below a crucial breakout pattern, with support at $46,800 in the hourly charts of the Bitcoin/USD pair. Bitcoin trades below the 76.4% Fib Retracement level from the uptrend wave that began at $44,470 and ended at $48,200.
Source: BTCUSD at TradingView.com
The $44,450 level is a good support area for the downside. Near the $44,000 mark is the next significant support. At $43,320, the main support is located. It’s close to the 1.236 fib extension level for the upward wave starting at the $44,470 swing low of $48,200 high. The price could fall below $43,320 in support zones, which would lead to $42,000.
What are the Upsides to Bitcoin?
Bitcoin could try an upside correction if it remains above $44,450. The $45,500 support level is the immediate resistance to the upside.
Next is resistance at the $45,800 area. It is currently nearing the $46,350 area (previous breakdown zone), which could be the main hurdle. Above this level, it might continue to rise. It could reach the $47,000.00 level or the simple 100-hour moving average.
Technical indicators
Hourly MACD – The MACD is slowly gaining pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now in the oversold region.
Major Support Levels – $44,450, followed by $43,320.
Major Resistance Levels – $45,500, $45,800 and $46,350.
