Bitcoin price against the US Dollar (BTC/USD pair) couldn’t find support at US$50,000. At the early hours of Asian trading hours, the BTC price broke the strong support levels at US$48,000, US$47,000, and also the strong psychological support level at US$45,000. This made the bitcoin price move further into a bearish zone.
The BTC/USD pair not only moved below the US$45,000 support level but also settled below the 100 hourly SMA (Simple Moving Average). Recently, the price made a minor upside correction above the US$43,800 zone and moved above the US$45,000 level. However, the gains were short-lived and the price again dropped below the crucial US$45,000 level.
Before starting a fresh decrease in price, a momentary high was formed near the US$46,645 level. A significant break took place below the US$45,000 support zone. On the hourly chart of the BTC/USD pair, this led to the formation of a major bearish trendline with resistance persisting near the US$45,000 level.
The most significant aspect of this price decline is that it kept of falling with the recent low created at US$43,869. Initial support has been found near the level of US$43,200. This is formed near the 1.236 Fibonacci extension level of the upward swing from the low at US$43,869 level to the high at US$46,645 level.
Technical analysts point out that the main support zone has been created near the US$42,000 level. This level is also significantly close to the 1.618 Fibonacci extension level of the upward swing from the low at US$43,869 level to the high at US$46,645 level. If the downward price movement of BTC keeps on the downward momentum then there could be more losses and may also test the psychologically crucial US$40,000 support zone.
Experts believe that the BTC price against the US Dollar may witness a fresh increase if it manages to stay above the US$42,000 level. In that case, the nearest resistance levels are located at US$45,000, US$46,500, and US$48,000.
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