Bitcoin Price Could Nosedive If It Continues To Struggle Below $31K
Bitcoin price is moving lower below the $30,500 pivot level. BTC could decline heavily if there is a close below the $29,800 support zone in the near term.
Bitcoin is moving lower below the $30,500 support zone.
The price is trading below $30,500 and the 100 hourly Simple moving average.
There was a break below a contracting triangle with support near $30,200 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could extend its decline if it stays below $31,200 for a long time.
Bitcoin Price Shows Bearish Signs
Bitcoin price moved into the red zone after it broke the $30,500 support zone. BTC traded below the $30,000 level but the downsides were limited.
The price seems to be trading in a range above the $29,850 support zone. There was a move above the 23.6% Fib retracement level of the downward move from the $31,630 swing high to the $29,868 low. The price even attempted a fresh increase above the $30,500 resistance but failed.
Bitcoin is now trading below $30,500 and the 100 hourly Simple moving average. There was also a break below a contracting triangle with support near $30,200 on the hourly chart of the BTC/USD pair.
If there is another increase, the price might face resistance near the $30,300 level and the 100 hourly Simple moving average. The next resistance is near the $30,500 zone, above which the price might retest $30,750. It is close to the 50% Fib retracement level of the downward move from the $31,630 swing high to the $29,868 low.
Source: BTCUSD on TradingView.com
If the bulls push the price above the $30,750 level, there could be a drift toward $31,000. The next major resistance is near the $31,400 level. Any more gains could open the doors for a move toward the $32,000 resistance zone.
More Losses in BTC?
If Bitcoin’s price fails to clear the $30,300 resistance, it could continue to move down. Immediate support on the downside is near the $30,000 level.
The next major support is near the $29,850 level, below which there could be a drop toward $29,400. Any more losses might send the price toward the $28,800 level.
Technical indicators:
Hourly MACD – The MACD is now gaining pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Major Support Levels – $29,850, followed by $29,400.
Major Resistance Levels – $30,300, $30,500, and $30,750.
