Bitcoin Struggles Below $32K, Why Downtrend Could Resume

Bitcoin tried to recover above $32,000 against US Dollar. BTC continues to struggle and is at risk of further losses under $30,000.

  • Bitcoin experienced a brief recovery after testing the $30,000 threshold.
  • The price currently trades at $31,500.
  • On the hourly chart for the BTC/USD pair, there is a significant bearish trend line with resistance at $31,400 (data feed Kraken).
  • It is possible for the pair to resume falling if it remains below $32,400.

Bitcoin Price Faces Hurdles

Bitcoin’s price fell to below $32,000. BTC reached the $30,000 resistance zone, and even traded at $29755.

Recently, the price corrected above the $31,000 mark. It was possible to rise above 23.6% Fib Retracement of the pivotal drop from the $36,059 swing low to the $29,755 high. The price was able to rise above $32,000 resistance thanks to the bulls.

They were however met with strong resistance at the $32,650 level. Bitcoin did not reach the 50% Fib Retracement level, which was the critical drop in price from the $36,059 swing high and $29755 low.

The current price of the BTC/USD pair is trading at $31,500, below its 100 hourly simple moving mean. On the hourly chart for the BTC/USD pair, there is a bearish trend line that forms with resistance at $31,400. Bitcoin price faces resistance at the level of $31,250.

Bitcoin Price

Source: BTCUSD at TradingView.com

Near the $31,400 mark could be the next major resistance. It is possible that the key breakout area could be in close proximity to $32,650. The key breakout zone could be near the $32,400-$32,650 levels. This would signal an increase that will continue in the immediate future.

BTC: More losses

Bitcoin could move lower if it fails to break the $32,400 resistance level. A $30,500 level provides immediate support for the downside.

Near the $30,000 support, we see the next significant support. If there is a downside break, a move below the $30,000 resistance could trigger another fall. A move below the $29,500 support level could trigger a decline to the $28,800 zone.

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 – $30,500, followed by $30,000.

Major Resistance Levels – $31,250, $32,400 and $32,650.

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