- Bitcoin price started a downside correction from the $38,000 zone against the US Dollar.
- The price is now trading below $36,000 and the 55 simple moving average (4 hours).
- There is a major bullish trend line forming with support near $35,150 on the 4-hour chart of the BTC/USD pair (data feed from Coinbase).
- The pair could start a fresh increase if it stays above the $35,000 support zone.
Bitcoin price is correcting lower below $36,000 against the US Dollar. BTC might eye another increase if the bulls remain active above the $35,000 zone.
Bitcoin Price Analysis
Bitcoin price extended its increase above the $37,000 level and rallied toward the $30,000 resistance zone. A high was formed near $37,999 before the price started a downside correction. There was a clear move below the $37,500 and $37,000 levels.
The bears were able to push the price toward the 23.6% Fib retracement level of the upward move from the $26,521 swing low to the $37,999 high. It is now trading below $36,000 and the 55 simple moving average (4 hours).
However, the bulls are now active near the $35,000 support. There is also a major bullish trend line forming with support near $35,150 on the 4-hour chart of the BTC/USD pair.
Immediate resistance on the upside is near the $36,000 level and the 55 simple moving average (4 hours). The next major resistance might be near the $37,000 zone. A clear move above the $37,000 level might send the price toward $37,500, above which the price might rise toward the $38,000 level. Any more gains might push the price toward the $40,000 zone.
If there is no upside break, the price might continue to decline below the $35,000 level. The first major support is $32,250 or the 50% Fib retracement level of the upward move from the $26,521 swing low to the $37,999 high.
The next key support is near the $30,250 level, below which the price might accelerate lower. In the stated case, the price could decline toward the $28,500 level. Any more losses might send the price toward the $26,000 level.
Looking at the chart, Bitcoin price is clearly trading below $36,000 and the 55 simple moving average (4 hours). Overall, the price could start a fresh increase if it stays above the $35,000 support zone.
Technical Indicators
4 hours MACD – The MACD is now losing momentum in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI is now below the 50 level.
Key Support Levels – $35,150 and $35,000.
Key Resistance Levels – $36,000, $37,000, and $38,000.
