Bitcoin’s price is encountering difficulties surpassing the crucial $44,500 and $44,700 resistance levels. Currently, BTC exhibits bearish indicators, suggesting a possible decline toward $42,150.
Facing a significant obstacle around the $44,500 resistance zone, Bitcoin is trading below $44,000 and the 100-hourly Simple Moving Average. A noteworthy development includes a break beneath a vital bullish trend line, having support at $44,000 on the BTC/USD hourly chart from Kraken. Consequently, the pair might experience a drop towards the $42,350 and $42,150 support levels.
Hurdles for Bitcoin Price
Attempting a fresh uptick beyond the $43,500 resistance zone, Bitcoin breached the $43,800 threshold but encountered bearish resistance near $44,500. Despite several efforts to gain strength beyond this point, the bears remained active, resulting in a peak around $44,483 and subsequent bearish signals.
A decline below the $44,000 support area unfolded, with the price dropping under the 50% Fibonacci retracement level of the upward move from the $42,480 low to the $44,483 high. Additionally, a critical bullish trend line at $44,000 was breached, placing Bitcoin below $44,000 and the 100-hourly Simple Moving Average.
Outlook and Resistance Levels
The immediate obstacle lies near the $44,000 level, followed by the first major resistance at $44,200. The primary hurdle materializes at the $44,500 level. A successful breach beyond $44,500 could propel the price higher, with the next significant resistance at $45,450. Further gains might open doors for an advance towards the $46,200 level.
Potential Downside
Should Bitcoin fail to surpass the $44,000 resistance, a continuation of the downward trend is likely. Immediate support exists around the $43,200 level or the 61.8% Fibonacci retracement level from the $42,480 swing low to the $44,483 high.
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The subsequent major support rests at $42,800. A breach below this level may trigger bearish momentum, potentially leading the price towards the $42,150 support in the near term.
Technical Indicators
- Hourly MACD: The MACD is gaining momentum in the bearish zone.
- Hourly RSI (Relative Strength Index): The RSI for BTC/USD is currently below the 50 level.
Key Levels
- Major Support Levels: $42,800, followed by $42,150.
- Major Resistance Levels: $44,000, $44,200, and $44,500.
Disclaimer:
The information provided in this article is for educational and informational purposes only. It does not constitute financial advice, investment recommendations, or any endorsement of cryptocurrency trading. The cryptocurrency market is highly volatile, and prices can change rapidly. Readers are encouraged to conduct thorough research and seek advice from qualified financial professionals before making any investment decisions. The authors and the platform do not assume any responsibility for potential financial losses incurred based on the information presented in this article. Cryptocurrency investments involve inherent risks, and readers should exercise caution and diligence when engaging in such activities.
