Bitcoin is still trading well below the $48,000 resistance. According to technical analysis by NewBTC’s Aayush Jindal, it will remain at risk of a sharp decline if it fails to stay above the $45,500 support zone.
Bitcoin Tries To Rebound
Bitcoin attempted a fresh increase above the $47,000 level. However, it failed to surpass the $47,500 level, starting a fresh decline. There was a clear move below the $47,200 and $47,000 levels. The price even settled below the $46,000 support zone. A bottom was formed near $45,548 and the price is now consolidating losses.
Bitcoin managed to rally slightly, even though it traded below the 100 hourly simple moving average. 23% of the drop from $47,500 to $45,548. It broke slightly above the 6 Fib retracement level. BTC is currently trading around $46,400. An initial resistance is near the $46,500 level. This is close to the 50% Fib retracement level of the drop from the $47,500 low to $45,548 low. The first major resistance on the upside is near the $47,000 level. There is also a major bearish trend line forming with resistance near $47,000 on the hourly chart of the BTC/USD pair.
47. $ 000 Level Matters
A clear move above the $47,000 resistance area and the trend line could start a strong recovery. The next major resistance is near the $48,000 level.
Will Bitcoin Drop More?
Jindal says that if Bitcoin fails to rise above $46,500, it may continue to move lower. An immediate support is near the $46,000 zone. The first major support is around $45,500. A downside break below the $45.500 level could push the price down further. In the stated case, the price could drop to the $43,000 level.
What Do Technical Indicators Say?
- Hourly MACD – The MACD is now losing momentum in the bearish zone.
- Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is close to the 50 level.
- Main Support Levels – $46,000, then $45,500
- Main Resistance Levels – $46.500, $47,000 and $47,500