Bitcoin price extended its decline below USD 31,000 and USD 30,000 against the US dollar. BTC is correcting higher and it looks like the bulls are aiming for a break above USD 32,000.
- Bitcoin fell below the USD 32,000 support level and revisited the USD 29,250 zone.
- The price is currently recovering above USD 30,000, but it is well below the simple 100-hour moving average.
- A major bearish trendline is forming with resistance near USD 31,350 on the hourly chart of BTC / USD pair (Kraken data feed).
- The pair could correct to USD 32,000 or USD 32,800 if it clears trendline resistance.
Bitcoin price is trying strong recovery
As discussed yesterday, bitcoin price did extends its decline and traded below the $ 32,000 support. BTC even broke the USD 31,000 level and hit below the 100 simple hourly moving average.
There was a clear break below the USD 30,000 support zone and the price was at USD 28,250. A low is forming near USD 29,271 and the price is currently correcting higher. It surpassed the USD 30,000 and USD 30,200 resistance levels.
There was a break above the 23.6% Fib retracement level of the downward wave from $ 34,915 high to $ 29,271 low. However, the price is now facing resistance near USD 31,200 and USD 31,300. A major bearish trendline is also forming with resistance near USD 31,350 on the hourly chart of the BTC / USD pair.
Source: BTCUSD on TradingView.com
If there is a clear break above the trendline resistance, bitcoin price may rebound towards the USD 32,000 resistance. The 50% Fib retracement level of the downward wave from the $ 34,915 high to $ 29,271 low is also near the $ 32,000 level, along with the 100 hourly SMA.
A successful break above the USD 32,000 resistance and the 100-hour SMA could open the doors for a surge. The next big resistance is near the USD 32,800 and USD 33,000 levels.
A refreshing dip in BTC?
If bitcoin doesn’t lift the USD 31,300 or USD 32,000 resistance, it could start another decline. Initial support is close to $ 30,000.
The main support is now forming near the USD 29,250 zone. A clear break below the USD 29,250 support zone could open the doors for a larger drop towards USD 28K.
Hourly MACD – The MACD is slowly gaining pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC / USD is now above the 50 level.
Key Support Levels – USD 30,400, followed by USD 30,000.
Key Resistance Levels – USD 31,300, USD 32,000 and USD 32,800.