Bitcoin’s Topside Bias Is Weak And Could Lead BTC Below $35K
Bitcoin’s topside bias is weak and vulnerable which is why it could send the coin below $35K as we can see in today’s BTC news.
The price is facing a couple of strong hurdles close to the $36,750 and the $37,800 level against the US dollar with the price declining heavily if it manages to break the $34,800 support zone. BTC is having a hard time gaining bullish momentum above the $36,750 and the $38,000 resistance levels as well. The price is trading well below the $38,000 and the 100 hourly simple moving average with a major bearish trend line forming at the resistances close to $36,400 on the hourly chart of the pair. The BTC/USD pair could crash lower if it fails to stay above the $34,800 support level.
After the failed attempt to settle above the $38,000 level, BTC’s price started another decline and broke the $36,000 support level so it entered right into the short-term bearish zone. The price spiked below the $34,500 zone and settled below the 100 hourly simple moving average so right after a new low was formed near the $33,930 before the price started an upward move. It then climbed above $35,500 but was facing some strong resistances near $36,750.
A new high was formed close to the $36,888 with the price showing a few bearish signs as of then. It traded below the 23.6% fib retracement level from the wave at $33,930 low to the $36,888 high. There’s also a major bearish trend line forming with the resistance nearing the $36,400 on the hourly charts of the pair. On the downside, the initial support is close to the $5,800 level with a bullish trend line forming. Breaking below the $35,800 could call for a test at $35,400 with 50% fib retracement levels of the wave from $33,930 low to the $36,888 high. More losses could speed up the drop and BTC could dive below $35K or lower. There’s a risk of a break below the $34K support zone.
Bitcoin’s topside bias is vulnerable but if it manages to stay above the $35,800 levels, there are chances of an upside break with a major resistance nearing the $36,750 level. The main resistance is forming close to the $37,800 and the $38,000 level as well with a close above $38,000 preparing to start a strong increase above $40K. the hourly MACD for the pair is in the bullish zone while the hourly RSI for the pair is struggling to stay above the 50 level.