Bitcoin was unable to break the $41,500 resistance against the US Dollar. BTC may sustain losses should there be a move below $39,200.
- Bitcoin failed to beat $41,500 again.
- Now, the price trades below $41,000. The 100-hourly simple moving average is also lower.
- The hourly BTC/USD chart showed a breaking below the key bullish trendline with support at $40,400 (data feed Kraken).
- A daily close below the $40,000 support area could cause further decline.
Bitcoin price gains
Bitcoin prices corrected higher than the $41,000 resistance area. BTC also cleared $41,400 and tried to move clear above $41,500 resistance.
The bears were still active at the $41,500 mark. Near $41,548 was the high and then there was a sharp decline. Clear movement below the $41,000 support level was evident. Below the 50% Fib level, which was the latest increase in price from $41,548 low to $39,269 high (the swing low), the price fell below that point.
On the hourly BTC/USD currency pair chart, the price also broke below a bullish trend line that supports support of $40,400. Now, the pair trades below $41,000 as well as the simple 100-hour moving average.
Also, it climbed below the 76.4% Fib level of the recent rise from $41,548 low to $39.269 high. The $40,200 mark is the immediate resistance. 40,400 could become the next major resistance and so would the 100-hourly SMA.
Source: BTCUSD at TradingView.com
The price may begin to rise if the bulls can clear the $40,000.400 and 40,000.500 resistance levels. The price could rise to the $41,000 zone in the above scenario. In the short term, any further gains may set the stage for a push towards the $41,500 mark.
BTC Losses:
Bitcoin could begin a new decline if it fails to break the $40,000.400 resistance level. Support for the downside lies near the level of $39650.
Next major support can be seen at the $39 250 level. The downside breakout below the $39250 support zone can accelerate losses. If this happens, then the price may fall towards $38,500, or even to $37,000.
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 – $39,650, followed by $39,250.
Major Resistance Levels – $40,400, $41,000 and $41,500.