Bitcoin Price Weekly Analysis – BTC/USD Remains at Risk
- Bitcoin price recovered recently, but it failed to move above the $16,400 resistance against the US Dollar.
- There is a crucial bearish trend line forming with current resistance at $14,200 on the 4-hours chart of BTC/USD (data feed from SimpleFX).
- The pair recently broke a connecting bullish trend line at $13,500 and made a downside move.
Bitcoin price is currently under pressure below $15,000 against the US Dollar. BTC/USD remains at a risk of more declines in the near term.
Bitcoin Price Decline
After a sharp downside move, bitcoin price recovered nicely above the $15,000 level against the US Dollar. The price even traded above the $16,000 level. However, buyers failed to move above the $16,500 level and the 100 simple moving average (4-hours). A downside move is initiated and the price has moved below the 23.6% Fib retracement level of the last wave from the $10,688 low to $16,384 high.
There is currently a lot of bearish pressure on bitcoin and the price is trading below $13,500. There was also a break below the 50% Fib retracement level of the last wave from the $10,688 low to $16,384 high. During the downside move, the price broke a connecting bullish trend line at $13,500 on the 4-hours chart. It has opened the doors for more declines below $13,000 in the near term.
On the upside, there is a crucial bearish trend line forming with current resistance at $14,200 on the 4-hours chart of BTC/USD. The pair might continue to decline and it could even break the 76.4% Fib retracement level of the last wave from the $10,688 low to $16,384 high. Any recoveries from the current levels toward $14,000 remains a short-term sell opportunity.
Looking at the technical indicators:
4-hours MACD – The MACD is currently in the bearish slope.
4-hours RSI (Relative Strength Index) – The RSI is currently well below the 50 level.
Major Support Level – $12,000
Major Resistance Level – $14,000
Charts courtesy – SimpleFX
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