Bitcoin price began a downward revision of $ 50,000 against the US dollar. BTC could extend its decline below the USD 47,600 support zone in the short term.
- Bitcoin failed to gain strength above $ 50,000 and began a downward correction.
- The price is now trading below $ 48,500 and the 100-hour simple moving average.
- A key bearish trendline is forming on the hourly chart of the BTC / USD pair (data feed from Kraken) with resistance near USD 48,800.
- The pair could continue its decline as long as it remains below the USD 49,000 resistance zone.
Bitcoin price corrected lower
Bitcoin price failed to settle above the $ 50,000 zone and began a steady decline. BTC broke the USD 49,000 support level and settled below the 100-hour simple moving average.
The price even broke the $ 48,500 support level and climbed below $ 47,800. A low forms at $ 47,600 and the price is now consolidating losses. Immediate resistance is near the $ 48,300 level. It is near the 23.6% Fib retracement level of the downward move from the high of $ 50,519 to the low of $ 47,611.
The first major resistance is near the $ 48,800 mark. An important bearish trendline is also forming on the hourly chart of the BTC / USD pair with resistance near USD 48,800.
Source: BTCUSD on TradingView.com
On the downside, the $ 47,600 level is a short-term support. The first major support is near the $ 47,300 mark. If there is a downside break below the $ 47,300 mark, the price could drop further. The next big support is near the $ 46,800 mark. Further losses could open the doors for a move towards the USD 46,000 support zone in the short term.
New rise in BTC?
If Bitcoin stays above the USD 47,000 support zone, it could see another spike. On the flip side, immediate resistance is near the $ 48,300 level.
The first major resistance is near the $ 48,800 level and trend line. The 50% Fib retracement level of the move down from the high of $ 50,519 to the low of $ 47,611 is also close to the trendline resistance. A close above the trendline could set the pace for a decent advance towards the $ 50,000 mark.
Hourly MACD – The MACD is picking up pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC / USD is now below the 50 level.
Major Support Levels – $ 47,600 followed by $ 47,300.
Main Resistance Levels – $ 48,300, $ 48,800, and $ 49,000.