Bitcoin’s price continues to face significant downward pressure as it struggles to break through the resistance at $30,000. At the time of writing, BTC is trading below the $29,500 pivot level and the 100 hourly Simple Moving Average, signifying a bearish trend.
After failing to clear the $30,000 resistance zone, Bitcoin started a fresh decline, dropping below key support levels at $29,750 and $29,500. The price even dipped below $29,000 before finding support at around $28,932. Currently, BTC is consolidating its losses and trading near the 23.6% Fibonacci retracement level of the downward move from the $30,000 swing high to the $28,932 low.
Bitcoin’s immediate resistance is near the $29,275 zone and the 100 hourly Simple Moving Average. The first major resistance level is at $29,450, representing the 50% Fibonacci retracement level of the downward move. A breakthrough above this level could potentially push the price towards the $29,750 resistance zone and, if momentum persists, beyond the $30,000 mark.
On the flip side, if Bitcoin fails to clear the $29,450 resistance, it may experience further downside pressure. The immediate support lies at around $29,100 and is reinforced by a key bullish trend line on the hourly chart of the BTC/USD pair. A break below this level could result in a deeper decline towards the next major support level at $28,750. If the bearish sentiment persists, Bitcoin may even reach the $28,400 mark.
The hourly MACD (Moving Average Convergence Divergence) for BTC/USD indicates a gain in bearish momentum, reinforcing the current downward trend. Moreover, the hourly RSI (Relative Strength Index) has fallen below the 50 level, signaling increased selling pressure.
Bitcoin’s failure to break through the $30,000 resistance zone has shifted the short-term outlook in favor of the bears. With the price languishing below key resistance levels and technical indicators supporting the bearish sentiment, BTC may continue to face downward pressure in the near term.
However, if Bitcoin manages to overcome the resistance at $29,450 and subsequently surpasses the $30,000 mark, a bullish reversal could be in sight. In this scenario, the price may even extend its gains towards the $30,400 resistance level.
Ultimately, the direction of Bitcoin’s price will largely depend on its ability to break through resistance levels and establish a strong upward momentum. Traders and investors should closely monitor key support and resistance levels, as well as market sentiment, to make informed decisions in this volatile and uncertain market.
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