What Could Trigger Another Decline

Bitcoin continued to fall below $38,000 against the US Dollar. BTC is on the rebound, but must surpass $39,000 to continue its upward trend.

  • Bitcoin is still below $40,000 and 39,000 respectively.
  • The price currently trades at $39,000 below the 100-hourly simple moving median.
  • The hourly BTC/USD chart showed a breakout above the key bearish trendline with resistance at $38,000 (data feed Kraken).
  • For the pair to move higher, it must overcome the resistance of $39,000.

Bitcoin Price Recovery Wave

After breaking the $39,000 resistance zone, Bitcoin prices gained bearish momentum. BTC traded even below $38,000 and closed below the 100-hourly simple moving average.

Below the $37.500 support area, there was an increase. The price has corrected higher since the low of $37,399 was reached. A move was seen above the $38,000 resistance level and 38,000200 resistance level. On the hourly chart, the BTC/USD pair saw a move above a crucial bearish trend line. Resistance was located near $38,000.

Bitcoin’s price rose to 23.6% Fib level, which is the retracement of the main decline, from the $37.399 high and the $40.349 swing low. Now, it is facing resistance close to the $38,800 mark and the 100 hourly simple moving mean.

To act as resistance, the 50% Fib Retracement level is near the $38,800 area. Near the $39,000 area could be next. An increase of at least 1% could be possible if the price reaches the $39,000 mark.

Bitcoin Price

Source: BTCUSD at TradingView.com

If the case is true, then the price might even go above the $39250 resistance. It is possible that the next resistance will be in the $40,000 area.

BTC – A New Decline

It could lead to a further decline if bitcoin does not clear the $39,000 resistance area. The $38,400 level is an immediate support for the downside.

Next major support will be seen at the 38,000 level. If the price breaks the $38,000 resistance zone, it could push down to $37,000. If there are more losses, it might be necessary to test the $36,400 support.

Indicators technical

Hourly MACD – The MACD is slowly losing pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.

Major Support Levels – $38,400, followed by $38,000.

Major Resistance Levels – $38,800, $39,000 and $39,200.

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