Bitcoin price failed to extend gains above the $ 44,300 resistance. BTC is now moving lower and might find bids near the $ 42,400 support zone.
- Bitcoin started a downside correction from the $ 44,300 resistance zone.
- The price is trading below $ 43,500 and the 100 hourly Simple moving average.
- There is a key declining channel forming with support near $ 42,850 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start a fresh increase from the $ 42,400 support zone.
Bitcoin Price Tops Again
Bitcoin price attempted a fresh increase above the $ 43,500 resistance zone. BTC climbed above the $ 44,000 level, but the bears were active near the $ 44,300 zone.
A high was formed near $ 44,300 and the price started a fresh decline. The price declined below the $ 44,000 and $ 43,500 levels. There was a move below the 23.6% Fib retracement level of the upward move from the $ 40,515 swing low to the $ 44,300 high.
Bitcoin is now trading below $ 43,500 and the 100 hourly Simple moving average. There is also a key declining channel forming with support near $ 42,850 on the hourly chart of the BTC/USD pair.
The pair is now testing the channel support, below which it might accelerate lower toward $ 42,400 or the 50% Fib retracement level of the upward move from the $ 40,515 swing low to the $ 44,300 high. If the bulls protect the channel support, there might be a fresh increase.
On the upside, immediate resistance is near the $ 43,500 level. The first major resistance is forming near $ 44,000 and $ 44,300. A close above the $ 44,300 resistance could start a strong rally and the price could even clear the $ 45,000 resistance.
Source: BTCUSD on TradingView.com
The next key resistance could be near $ 46,500, above which BTC could rise toward the $ 47,200 level. Any more gains might send the price toward $ 48,000.
More Losses In BTC?
If Bitcoin fails to rise above the $ 43,500 resistance zone, it could continue to move down. Immediate support on the downside is near the $ 42,800 level.
The next major support is near $ 42,400. If there is a move below $ 42,400, there is a risk of more losses. In the stated case, the price could drop toward the $ 41,200 support in the near term.
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 – $ 42,400, followed by $ 41,200.
Major Resistance Levels – $ 43,500, $ 44,300, and $ 45,000.
