Bitcoin failed to recover more than $32,000 against the US Dollar. BTC is gaining bearish momentum and trading below the key $30,000 support zone.
- Bitcoin started a fresh decline and traded below the key $30,000 support zone.
- The price is now trading below $30,000 and the 100 hourly simple moving average.
- A key bearish trend line is forming with resistance near $31,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could accelerate lower below the $27,500 and $27,000 levels in the near term.
Bitcoin Price Plunges Below Key Support
Bitcoin price attempted a wave of recovery above the $32,000 level. However, BTC struggled to continue higher and started a fresh decline below $31,000.
There was a clear move below the key $30,000 support zone and the price settled below the 100 hourly simple moving average. The decline accelerated below the $29,500 level. Finally, there was a move below the $28,000 level and the price traded to a new multi-week low at $27,700.
Recently, there has been a slight upward correction above $29,000. Bitcoin recovered above the 23.6% Fib retracement level of the recent decline, falling from the high of $32,132 to lows of $27,700.
However, the bears were active near the $30,000 resistance zone. The price remained below the 50% Fib retracement level of the recent decline from the high of $32,132 to lows of $27,700. There is also a key bearish trend line forming with resistance near $31,000 on the hourly chart of the BTC/USD pair.
Source: BTCUSD on TradingView.com
The next key resistance could be near the $31,500 level. The key breakout zone is still near the $32,000 area, above which the price could start a wave of steady near-term recovery.
More losses in BTC?
If bitcoin fails to clear the $30,000 resistance zone, it could continue to decline. An immediate support on the downside is near the $28,200 level.
The next major support is near the $27,700 level. A break down and a close below the $27,700 support could accelerate losses. The next major support could be $27,200, below which the bears could aim for a move towards the $26,500 support zone.
Hourly MACD – The MACD is now accelerating into the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Main support levels – $28,200, followed by $27,700.
Main resistance levels – $29,500, $30,000 and $31,400.