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

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.

analyst bitcoin btc showing signals of falling could make further correction 1

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.

1 Will Bitcoin (BTC) Soar?

If Bitcoin starts a new upward move, the initial resistance is near the $ 36,350 level and the 100 hourly simple moving average. The first major resistance appears near the $ 36,800 level.

The main resistance on the upside is still above the $ 37,000 zone with $ 37,500 and $ 37,800. A successful close above the $ 37,000 resistance followed by a follow-up move above $ 37,500 could open the doors for a bigger increase in the near term.

2 Technical indicators

  • Hourly MACD – The MACD is slowly gaining momentum in the bearish zone.
  • Hourly RSI (Relative Strength Index) – The RSI for BTC / USD is currently well below the 50 level.
  • Major Support Levels – $ 35,800 followed by $ 34,800
  • Major Resistance Levels – $ 36,800, $ 37,000 and $ 37,500

Samuel Hegi

Samuel Hegi , who first became acquainted with blockchain technology in 2014, is highly critical of blockchain technology. Samuel Hegi, a journalism graduate from the University of Brighton Theblockchainnew.com he is the editor-in-chief of the news portal. Blockchain is love.

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