Bitcoin price dropped more than 15% and broke many supports close to $ 32,000 against the US Dollar. In fact, BTC traded close to $ 28,500 and is currently correcting losses. According to the technical analysis of NewsBTC's Aayush Jindal:
Bitcoin started a strong decline below the $ 33,000 and $ 32,000 support levels.
The price is currently correcting losses, but is currently $ 32,000 and below the 100 hourly simple moving average.
There is a key bearish trend line showing resistance near $ 32,700 on the hourly chart of the BTC / USD pair (based on Kraken data).
The pair will face strong selling interest near the $ 32,000 and $ 32,800 levels.
Bitcoin (BTC) Price Is In The Red Zone
Yesterday, we discussed the possibility of further losses in the bitcoin price below $ 33,000. BTC failed to break above $ 34,500 and started a strong decline. There was a break below many key supports around $ 33,000 and $ 32,800.
Below $ 32,000 it opened the doors for more losses, and the price fell well below the 100 hourly simple moving average. The price dropped even below the $ 30,000 level. It traded close to the $ 28,500 support and is currently correcting losses.
There was a break above the $ 30,000 level. Bitcoin price is currently trading above the 23.6% Fib retracement level of the last move from $ 32,707 to $ 28,808.
On the upside, initial resistance is near the $ 30,800 and $ 31,000 levels. This is near the 50% Fib retracement level of the last move from $ 32,707 to $ 28,808. The next critical resistance is near the $ 32,000 level.
There is a key bearish trend line formed with resistance near $ 32,700 on the hourly chart of the BTC / USD pair. To move into a positive zone, the price must clear $ 32,800 and $ 33,000.
Will Bitcoin (BTC) Fall More?
If Bitcoin fails above $ 31,000 and $ 31,800, there is another risk of downside. Initial support on the downside is near the $ 30,000 level.
The first major support is near the $ 28,800 and $ 28,500 levels. A close below the $ 28,000 support zone could open the doors for a drop towards the $ 25,000 support zone in the coming sessions.
Technical indicators
Hourly MACD - The MACD is slowly gaining momentum in the bullish zone.
Hourly RSI (Relative Strength Index) - The RSI for BTC / USD is currently recovering towards the 40 level.
Major Support Levels - $ 30,000 followed by $ 28,800
Major Resistance Levels - $ 30,800, $ 31,000 and $ 32,800
