Bitcoin price started a downside correction from $30,200. BTC is now trading near the previous breakout resistance at USD 29,400.
- Bitcoin is correcting gains and trading below the $29,800 level.
- The price is trading above $29,400 and the 100 Simple hourly moving average.
- There was a break below a key bullish trendline with support near USD 29,840 on the hourly chart of the BTC/USD pair (Kraken data feed).
- The pair could start a fresh increase if it continues above the USD 29,400 support zone.
Bitcoin price holds support
Bitcoin price started a decent rise above the $29,400 and $29,500 resistance levels. BTC even broke the USD 30,000 level, but there was no daily close. A high was formed near USD 30,190 and the price started a downside correction.
There was movement below the $30,000 and $29,800 levels. The price dipped below the 23.6% Fib retracement level of the upward move from the $28,628 swing low to the $30,190 high. Moreover, there was a break below a key bullish trendline with support near USD 29,840 on the hourly chart of the BTC/USD pair.
Bitcoin price is now trading above $29,400 and the 100 hourly simple moving average. It also holds the main pivot zone at $29,400. It is close to the 50% Fib retracement level of the upward move from the $28,628 swing low to the $30,190 high.
Immediate resistance is near the $29,680 level. The first major resistance is near the $29,800 level. The next major resistance is near the USD 30,000 level, above which the price could revisit USD 30,200.
Source: BTCUSD at TradingView.com
A close above the USD 30,200 resistance could lead to another steady increase. In the said case, the price could test $31,200 or even $32,000 in the coming days.
Lose more in BTC?
If Bitcoin fails to clear the $29,800 resistance, it could start a fresh decline. Immediate support on the downside is near the $29,400 level.
The next major support is near the $29,300 level or the 100 hourly SMA. A downside break below the $29,300 level could lead to bearish moves. In the said case, the price could be $29,000. More losses could lead to a move towards the $28,680 level in the near term.
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 – $29,400, followed by $29,300.
Major resistance levels – $29,800, $30,000 and $30,200.
