Bitcoin Breaks $30K, Why This Could Turn Into Larger Downtrend
Bitcoin failed to recover above $32,000. BTC is gaining bearish momentum and trading below the key $30,000 support zone .
Bitcoin price attempted a recovery wave above the $32,000 level. However, BTC struggled to continue higher and started a fresh decline below $31,000. There was a clear move below the key $30,000 support zone and the price settled below the 100 hourly simple moving average . The decline gained pace below the $29,500 level. Finally, there was a move below the $28,000 level and the price traded to a new multi-week low at $27,700.
Recently, there was a minor upside correction above $29,000. Bitcoin recovered above the 23.6% Fib retracement level of the recent decline from the $32,132 swing high to $27,700 low. However, the bears were active near the $30,000 resistance zone . There is also a key bearish trend line forming with resistance near $31,000 on the hourly chart of the BTC /USDT pair.
The next key resistance could be near the $31,500 level. The key breakout zone is still near the $32,000 zone, above which the price might start a steady recovery wave in the near term.
If bitcoin fails to clear the $30,000 resistance zone , it could continue to move down. An immediate support on the downside is near the $28,000 level.
The next major support is seen near the $27,700 level. A downside break and close below the $27,700 support might accelerate losses. The next major support could be $27,200, below which the bears might aim a move towards the $26,500 support zone .
Technical indicators:
Hourly MACD – The MACD is now gaining pace in the bearish zone.
Hourly RSI ( Relative Strength Index ) – The RSI for BTC /USDT is now below the 50 level.
Major Support Levels – $28,000, followed by $27,700.
Major Resistance Levels – $29,500, $30,000 and $31,400.
DISCLAIMER: The analysis of cryptocurrencies in real-time should be taken for informational purposes only, and in no case should it be taken as an investment signal. Every investment and trading move involves risk. You should conduct your own research when making a decision.
