Bitcoin price failed to clear the $ 37,000 resistance against the US Dollar. BTC is declining and remains at risk of further losses below $ 34,000.
Bitcoin is facing many hurdles near the $ 36,000 and $ 37,000 resistance levels. The price is currently trading well below $ 37,000 and the 100 hourly simple moving average. A key bearish trend line is forming with resistance near $ 36,000 on the hourly chart of the BTC / USD pair (data feed from Kraken). The pair could decline considerably if it settles below the $ 34,000 and $ 33,200 support.
Bitcoin price turns red
Bitcoin made a couple of attempts to clear the $ 37,000 resistance zone, but failed. The latest low was formed near $ 33,650 before BTC corrected higher.
It broke the $ 34,000 and $ 35,000 resistance levels. There was also a break above the 23.6% Fib retracement level of the downward move from the $ 40,417 high to $ 33,650 low. The price is now struggling to clear the $ 36,000 resistance level.
Bitcoin is also trading well below $ 37,000 and the 100 hourly simple moving average. Additionally, a key downtrend line is forming with resistance near $ 36,000 on the hourly chart of the BTC / USD pair.
Source: BTCUSD on TradingView.com
On the upside, an immediate resistance is near the $ 35,500 level. The first major resistance is near the $ 36,000 level and the trend line. The next major resistance is near the $ 37,000 level. It is close to the 50% Fib retracement level of the downward move from the high of $ 40,417 to the low of $ 33,650.
A close above the $ 37,000 resistance zone could open the doors for a steady rise. The next big barrier for bulls is near the $ 40,000 level.
More losses in BTC?
If bitcoin fails to clear the $ 36,000 resistance, there is a risk of a downside breakout. An initial support on the downside is near the $ 34,500 level.
The first major support is near the $ 34,000 level. If there is a break to the downside below the $ 34,000 support, the price could decline towards the $ 32,000 support zone in the coming sessions. Any further losses could clear the way for a test of the $ 30,000 level.
Hourly MACD – The MACD is slowly picking up pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC / USD is now below the 50 level.
Major Support Levels – $ 34,000, followed by $ 32,000.
Major Resistance Levels – $ 35,500, $ 36,000, and $ 37,000.