Bitcoin is struggling to clear the $50,000 resistance zone against the US Dollar. BTC could decline heavily if there is a clear move below the $47,300 level.
- Bitcoin is struggling and showing bearish signs below the $50,000 resistance.
- The price is now trading below $49,500 and the 100 hourly simple moving average.
- There is a major bearish trend line forming with resistance near $49,600 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start a fresh increase if it is able to clear the $50,000 level.
Bitcoin Price Holds Key Support
Bitcoin price started a fresh decline from the $52,000 resistance zone. BTC broke the $49,000 support level and settled below the 100 hourly simple moving average.
There was also a move below the $48,000 level, but the bulls were active near the $47,300 zone. A low is formed near $47,298 and the price is now correcting losses. There was a move above the $48,000 resistance zone.
Bitcoin climbed above the 23.6% Fib retracement level of the downward move from the $51,955 swing high to $47,298 low. The price is now trading below $49,500 and the 100 hourly simple moving average. An immediate resistance on the upside is near the $49,000 level.
The next major resistance is near the $49,500 level. There is also a major bearish trend line forming with resistance near $49,900 on the hourly chart of the BTC/USD pair.
Source: BTCUSD on TradingView.com
The trend line is close to the 50% Fib retracement level of the downward move from the $51,955 swing high to $47,298 low. A clear break above the $49,500 resistance zone could open the doors for more upsides. The next key resistance is near the $50,000 level, above which the price may possibly start a steady increase.
More Losses In BTC?
If bitcoin fails to clear the $49,500 resistance zone, it could continue to move down. An immediate support on the downside is near the $48,000 level.
The first major support is now forming near the $47,300 level. A downside break below the $47,300 support may perhaps increase selling pressure. The next stop for the bears might be $46,000.
Hourly MACD – The MACD is slowly gaining pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently above the 50 level.
Major Support Levels – $48,000, followed by $47,300.
Major Resistance Levels – $49,500, $50,000 and $52,000.
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Author: Aayush Jindal