Bitcoin began a sharp decline below $37,500 against the US Dollar. BTC was even trading below $35,000 at one point and may continue to fall towards $32,000.
- Bitcoin experienced a steep decline from the $35,500 and $36,500 levels.
- The price currently trades at $35,000 below the 100-hourly simple moving median.
- A key bearish trendline is emerging with resistance close to $34,200 in the hourly BTC/USD chart (data feed Kraken).
- In the short term, the pair could accelerate below the $33,500 support area.
Bitcoin price settles below $35K
Bitcoin’s price fell below the $36,000 level and experienced extended downsides. BTC moved further into bearish territory when it traded below its key $35,500 support level and the $35,000 support level.
The close was below the $35,000 level and the 100 hourly moving average. It traded as low as $34,000 and fell to $33,700 for the first time in a week. Now, the price has been consolidating losses and is showing bearish signals below $34,000.
Bitcoin price now faces resistance at the $34,000 mark. Next resistance may be at the level of $34,200. On the hourly chart for the BTC/USD pair, there is a bearish trend line that forms with resistance at $34,200. This trend line lies close to the 23.6% Fib Retracement level for the downmove from the $36,058 high to the $33,700 low.
Source: BTCUSD at TradingView.com
It is currently nearing the $35,000 mark. The price is now near the 50% Fib level of the downmove from $36,058 high to $33,700 bottom. The price should settle at or above $35,000 to initiate a new increase.
BTC: More losses
Bitcoin could move lower if it fails to break the $35,000 resistance level. Support for the downside lies near the level of $33,700.
Near the $33,500 support, we see the next significant support. Another sharp drop could be triggered if the downside breaks below $33,500. 32,500 could become the next significant support. A further loss could send the price toward the $32,000 support area.
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 – $33,500, followed by $32,000.
Major Resistance Levels – $34,000, $34,200 and $35,000.