Bitcoin failed to make a move towards $45,000 against the US Dollar. BTC has been trending downwards, although dips may be restricted below $42,800.
- Bitcoin’s price rose to $44,000, before sellers could take it down.
- The price trades above $43,500 as well as the 100 hourly simple moving Average.
- A break was seen below a rising channel on the hourly chart. Support is near $44,200. (Data feed from Kraken).
- This could lead to the pair dropping down to $43,000, or $42,800. The bulls may take a stand.
Bitcoin Price Faces Resistance
Bitcoin prices remained stable and increased above the $44,000 mark. BTC cleared the $44,500 resistance level and settled well above the 100 hourly simple moving mean.
But, the resistance of $45,000 was still intact. The price reached a peak at $44,770, before it began a downward correction. The price fell below the $44,500 resistance zone. A further break occurred below the $44,500 support zone on the hourly chart. This channel has support close to $44,200.
Bitcoin trading below the 23.6% Fib level of the upmove from the $41,573 swing high to $44,770 low. Surprisingly, Bitcoin might encounter resistance close to the $44,200 channel support.
Source: BTCUSD at TradingView.com
Near the $44,500 mark is the first major resistance. The price could rise further if it moves above the $44,500 level. Next major resistance will be near $45,000. If the price breaks that level, it could push the price higher towards $45,500.
BTC Dips Limited
It could initiate a downward correction if bitcoin does not rise above the $44,500 resistance level. The $43,800 area is a support zone for the downside.
It is located near $43,150. This is close to the Fib retracement of 50% the upward movement from $41,573 low to $44,770 high. A downside breakout below the $43,850 resistance zone could cause the price to drop. There is an immediate support at $42,800, the 100 hourly SMA. If the SMA falls below that level there could be a steep decline.
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 still above the 50 level.
Major Support Levels – $43,800, followed by $43,150.
Major Resistance Levels – $44,200, $44,500 and $45,500.
