Cryptocurrency News

Bitcoin Still Struggling Near $38K, Here’s Why The 100 SMA Is Key


Bitcoin price made another attempt to clear the $38,000 resistance against the US Dollar, but it was unsuccessful. BTC is correcting lower but it may find bids near the 100 hourly SMA.

  • Bitcoin is still facing a strong resistance near the $38,000 area.
  • The price is currently trading above the $36,500 level and the 100 hourly simple moving average.
  • There is a connecting bullish trend line with support near $36,400 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair must stay above $36,000 and the 100 hourly SMA to stay in the positive zone.

Bitcoin Price Eyes Fresh Growth

Bitcoin started a decent rise above the $36,500 resistance area. BTC even broke the $37,000 resistance and closed well above 100 hour simple moving average.

The bulls made another significant attempt to cross the $38,000 barrier. However, they failed to gain strength and a new weekly high was formed near the $38,200 level. The price is now turning lower and it is trading below the $37,800 level.

It broke the 23.6% Fib retracement level of the recent wave from the $35,928 low to $38,200 high. On the downside, immediate support is near the $37,000 level.

Source: BTCUSD on TradingView.com

The 50% Fib retracement level of the recent wave from the $35,928 low to $38,200 high is also near the $37,000 area to act as support. There is also a connecting bullish trend line forming with support near $36,400 on the hourly chart of the BTC/USD pair.

On the upside, an immediate resistance is near the $37,600 level. The first major resistance is near the $37,850 level. Main barrier still near $38,000 area. A clear break above the $38,000 area is needed for a push towards the $40,000 level.

Downside Break in BTC?

If bitcoin fails to clear the $38,000 resistance, it could turn lower. An initial support on the downside is near the $37,000 level.

The first major support is near the $36,500 level and the 100 hourly simple moving average. If there is a downside break below the $36,500 support and then the trend line, the price could initiate a major decline in the near term.

Technical Indicators:

Hourly MACD – The MACD is slowly gaining momentum in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now just below the 50 level.

Key Support Level – $36,500, followed by $36,000.

Key Resistance Levels – $37,800, $38,000, and $40,000.



Source link

findmostly
Avinash is a blogger, Enterprenuer, marketer and author. He is very good affiliate marketer and Product Reviewer.
https://findmostly.com