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Bitcoin Price Could Recover But Upsides Might Be Attractive To Bears
Bitcoin price is attempting a recovery wave above the $29,200 level. BTC must clear the $29,600 resistance to start a decent recovery wave.
Bitcoin Price Faces Resistance
Bitcoin price extended its decline below the $29,200 support zone. BTC even traded below the $29,000 level. A low is formed near $28,880 and the price is now attempting a recovery wave.
There was a minor increase above the $29,000 resistance level. The price spiked above the 23.6% Fib retracement level of the downward move from the $30,334 swing high to the $28,880 low. However, the bears are active near the $29,350 level.
Bitcoin is now trading below $29,600 and the 100 hourly Simple moving average. There is also a short-term rising channel forming with support near $29,120 on the hourly chart of the BTC/USD pair.
Immediate resistance is near the $29,350 level. The first major resistance is near the $29,600 level and the 100 hourly Simple moving average. It is near the 50% Fib retracement level of the downward move from the $30,334 swing high to the $28,880 low.
Source: BTCUSD on TradingView.com
The next major resistance is near the $29,750 level, above which the price might rise toward the $30,000 resistance zone. A close above the $30,000 level might start a fresh increase. In the stated case, the price could rise toward the $30,400 resistance.
More Losses in BTC?
If Bitcoin fails to clear the $29,350 resistance, it could continue to move down. Immediate support on the downside is near the $29,100 level and the channel trend line.
The next major support is near the $28,880 level, below which the price could drop toward $28,500. The next support is near the $28,200 level. Any more losses might call for a move toward the $27,500 level in the near term.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major Support Levels – $29,100, followed by $28,880.
Major Resistance Levels – $29,350, $29,600, and $30,000.