Bitcoin (BTC) Shows Down Signals, May Make More Corrections.

Bitcoin price failed to clear the $ 37,500 and $ 37,800 resistance levels against the US Dollar. BTC is currently falling and could continue to drop to $ 34,000 or $ 33,000. According to the technical analysis of NewsBTC’s Aayush Jindal:

• Bitcoin is facing strong resistance near the $ 37,800 and $ 38,000 resistance levels.
• The price is currently trading below the $ 36,500 support and the 100 hourly simple moving average.
• There   was a break under a major contracting triangle formation with support near $ 36,500 on the hourly chart of the BTC / USD pair ( according to Kraken data).
• The pair is showing bearish signals and could drop to $ 34,000 or $ 33,000.

Bitcoin (BTC) Price Falls

After another failed attempt above the $ 37,000 resistance, the bitcoin price started a new decline. It formed a high around $ 37,861 before the price dropped.

It broke the $ 37,000 and $ 36,800 support levels. More importantly, there was a break under a major contracting triangle formation with support around $ 36,500 on the hourly chart of the BTC / USD pair. The price is currently trading below the $ 36,500 support and the 100 hourly simple moving average.

The first downside support is near the $ 35,850 level. This is near the 50% Fib retracement level of the bullish move from $ 33,878 to $ 37,861.

If bitcoin price fails to stay above the $ 38,850 support, it may continue to drop towards $ 35,000. The next major support is near the $ 34,800 level, below which the price is likely to drop towards the $ 33,200 support zone in the coming sessions.