Bitcoin price has once again failed to overcome the strong resistance at $44,000. As a result, BTC is currently declining and there is a significant risk of a downside break below the $41,500 level. The price is trading below $43,000 and the 100 hourly Simple Moving Average, indicating a bearish sentiment in the market.
The hourly MACD for BTC/USD is in the bearish zone, suggesting an increase in downward momentum. Furthermore, the hourly Relative Strength Index (RSI) is now below the 50 level, indicating a bearish trend.
Bitcoin made a fresh attempt to gain momentum above the $43,200 level. Although it briefly climbed above $43,500, it struggled to reach the crucial resistance zone at $44,000. A high was formed near $43,792 and the price started to decline once again.
The immediate resistance is now near the $42,500 level, followed by a key bearish trend line with resistance near $42,550. The first major resistance level is at $43,000. Only a close above this level could potentially send the price further higher.
Conversely, if Bitcoin fails to rise above the $43,000 resistance zone, it could continue its downward movement. The immediate support on the downside is near the $42,150 level, with the next major support at $41,650. If the price breaks below $41,650, there is a risk of further losses. In such a scenario, the price could drop towards the $40,500 support level in the near term.
Bitcoin’s recent price action has formed a clear inverted V pattern, as the bears successfully pushed the price below the 50% Fibonacci retracement level. Currently, Bitcoin is consolidating below the 61.8% Fib retracement level of the upward move from the $41,637 swing low to the $43,792 low. These technical indicators suggest a bearish bias in the market.
It is essential to note that this article is provided for educational purposes only and does not represent the opinions of NewsBTC regarding investment decisions. Investing in cryptocurrencies carries inherent risks, and individuals are advised to conduct their own research before making any investment decisions. The information on this website should be used entirely at your own risk.
Bitcoin price is facing significant resistance at the $44,000 level and is at risk of a downside break below the $41,500 level. Technical indicators, such as the hourly MACD and RSI, suggest a bearish sentiment in the market. Traders should closely monitor the resistance and support levels mentioned in this article and exercise caution when making investment decisions.