What Could Trigger Another Decline

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Bitcoin extended decline below the $44,000 level against the US Dollar. BTC remains at a risk of more downsides unless there is a break above $45,000.

Bitcoin started a major decline below the key $45,500 support zone.
The price is trading below $44,000 and the 100 hourly simple moving average.
There is a key bearish continuation pattern forming with resistance near $43,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair might face resistance if there is a move above the $44,000 level.

Bitcoin Price Remains At Risk

Bitcoin price started a major decline below the $46,500 and $45,000 support levels. BTC remained in a bearish zone and there was a move below the $44,000 level.

The price settled below the $43,500 level and the 100 hourly simple moving average. There was a clear move below the $43,000 level and the price traded as low as $42,424. It is now consolidating losses above the $42,500 level.

An immediate resistance is near the $43,500 level. It is near the 23.6% Fib retracement level of the recent drop from the $47,065 swing high to $42,424 low. There is also a key bearish continuation pattern forming with resistance near $43,500 on the hourly chart of the BTC/USD pair.

The first major resistance on the upside is near the $44,500 level. The next major resistance is near the $44,750 level. It is near the 50% Fib retracement level of the recent drop from the $47,065 swing high to $42,424 low.

Source: BTCUSD on TradingView.com

A clear move above the $44,750 resistance zone could start a decent recovery wave. The next major resistance is near the $45,600 level and the 100 hourly SMA, above which the bulls might gain strength.

More Downsides in BTC?

If bitcoin fails to recover above $44,500, it could continue to move down. An immediate support is near the $42,650 zone. The first major support is near $42,500 and the recent low.

A downside break below the $42,424 low could push the price further lower. In the stated case, the price may possibly decline towards the $40,000 level in the near term.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $42,500, followed by $40,000.

Major Resistance Levels – $43,500, $44,000 and $44,750.

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The post What Could Trigger Another Decline first appeared on The Coin Compass.

The post What Could Trigger Another Decline appeared first on The Coin Compass.

The post What Could Trigger Another Decline first appeared on The Coin Compass.

The post What Could Trigger Another Decline appeared first on The Coin Compass.

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