Bitcoin price extended its decline below the $40,000 support zone. BTC is consolidating losses and remains at risk of more downsides below $38,500.
- Bitcoin price is gaining bearish momentum below the $40,500 zone.
- The price is trading below $40,500 and the 100 hourly Simple moving average.
- There is a connecting bearish trend line forming with resistance near $40,850 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair might correct above $40,000 but the bears could remain active near $40,500.
Bitcoin Price Takes Hit
Bitcoin price remained in a bearish zone below the $42,000 support zone. BTC bears gained strength and were able to push the price below the $40,000 support zone.
A new weekly low was formed near $39,451 and the price is now consolidating losses. It is slowly recovering above the $39,800 level. It is approaching the 23.6% Fib retracement level of the recent decline from the $42,260 swing high to the $39,451 low.Bitcoin is now trading below $40,500 and the 100 hourly Simple moving average. Immediate resistance is near the $40,150 level. The first major resistance is near the $40,850 level. There is also a connecting bearish trend line forming with resistance near $40,850 on the hourly chart of the BTC/USD pair.
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