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TA: Bitcoin Faces Hurdles, Why $45K Is The Key

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Cryptocoins News / NewsBTC 146 Views

Bitcoin attempted an upside break above $47,500 against the US Dollar. BTC failed to gain traction and corrected lower below $46,500.

  • Bitcoin is showing bearish signs and struggling below the $47,000 pivot level.
  • The price is trading below $46,500 and the 100 hourly simple moving average.
  • There was a break below a major breakout pattern with support near $46,400 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could extend decline and test the $45,000 support zone in the near term.

Bitcoin Price Struggles Below $47K

Bitcoin price started a decent increase from the $44,500 support zone. BTC climbed above the $45,000 and $45,500 resistance levels.

It even climbed above the $46,500 level and the 100 hourly simple moving average. However, the bears were active below the $47,500 resistance zone. A high was formed near $47,444 and the price started a fresh decline.

There was a clear move below the $46,500 support and the 100 hourly simple moving average. The price declined below the 23.6% Fib retracement level of the upward wave from the $44,257 swing low $47,444 high. Besides, there was a break below a major breakout pattern with support near $46,400 on the hourly chart of the BTC/USD pair.

Bitcoin price is now testing the 50% Fib retracement level of the upward wave from the $44,257 swing low $47,444 high. An immediate support on the downside is near the $45,850 level.

Bitcoin Price

Source: BTCUSD on TradingView.com

The next major support is seen near the $45,500 level. The main support now sits near the $45,000 level. A downside break below the $45,000 support zone could increase selling pressure in the near term. In the stated case, the price could even decline below $44,250.

Upsides Capped in BTC?

If bitcoin remains stable above the $45,000 support level, it could attempt a fresh increase. An immediate resistance on the upside is near the $46,250 level and the 100 hourly SMA.

The next major resistance is near the $46,750 level. The key hurdle is now forming near the $47,500 level, above which the price might rise steadily. In the stated case, it could test the $48,500 resistance zone.

Technical indicators:

Hourly MACD – The MACD is slowly gaining pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is below the 50 level.

Major Support Levels – $45,250, followed by $45,000.

Major Resistance Levels – $46,250, $46,850 and $47,500.

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