Bitcoin (BTC) Price Won’t Go Quietly, Risk of Break Grows

Bitcoin price is currently consolidating above the $3,940 support area against the US Dollar.

  • The price is likely to grind higher above $4,000 as long as it is above the $3,940 support.
  • There is a key bearish trend line is forming with resistance at $3,980 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could accelerate gains once there is a close above $4,000 and the 100 hourly SMA.

Bitcoin price seems to be preparing for the next break against the US Dollar. BTC is likely to climb above the $4,000 barrier unless buyers fail to defend the $3,960 and $3,940 support levels.

Bitcoin Price Analysis

Recently, bitcoin price rebounded nicely after trading as low as $3,872 against the US Dollar. The BTC/USD pair gained traction and traded above the $3,940 and $3,960 resistance levels. However, the $4,000 level acted as a strong resistance and prevented further gains. A swing high was formed near $3,999 and later the price corrected lower. There was a dip below the $3,980 level and the 23.6% Fib retracement level of the last wave from the $3,872 low to $3,999 high.

However, the key $3,940 support area acted as a strong barrier for sellers. The price found support just above $3,940 and the 50% Fib retracement level of the last wave from the $3,872 low to $3,999 high. It is currently moving higher and trading near the $3,980 resistance.

There is also a key bearish trend line formed with resistance at $3,980 on the hourly chart of the BTC/USD pair. Above the trend line, the 100 hourly SMA is positioned near the $3,985 level.

Therefore, a break above the trend line, the 100 hourly SMA, and $4,000 is must for buyers to gain control. Above $4,000, the next key resistance is near the $4,020 level, above which the price is likely to test the $4,045 resistance. On the downside, an initial support is at $3,960. However, the main support is near $3,940, which may continue to hold losses.

Bitcoin Price Analysis BTC Chart

Looking at the chart, bitcoin price is clearly consolidating above the $3,940 support level. As long as the price is above $3,940, there are chances of more gains above $3,980 and $4,000. To gain bullish momentum, a clear break above the $4,020 pivot level is required. On the downside, a close below the $3,940 support might accelerate losses towards the $3,900 and $3,875 levels.

Technical indicators:

  1. Hourly MACD – The MACD is currently in slowly moving in the bullish zone.
  2. Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently above the 50 level, with positive signs.
  3. Major Support Levels – $3,960 followed by $3,940.
  4. Major Resistance Levels – $3,980, $4,000 and $4,020.

The views and opinions expressed in this article Bitcoin (BTC) Price Won’t Go Quietly, Risk of Break Grows do not reflect that of 48coins, nor of its originally published source. Article does not constitute financial advice. Kindly proceed with caution and always do your own research. In rounding off this piece Bitcoin (BTC) Price Won’t Go Quietly, Risk of Break Grows, here’re the Top prominent words: $3,940 Support Area. $3,980 On The Hourly Chart. Bearish Trend Line. Chart Of The BTC/USD Pair. Consolidating Above The $3,940 Support. Fib Retracement Level. Hourly Chart Of The BTC/USD. Key Bearish Trend. Key Bearish Trend Line. Line The 100 Hourly. Line The 100 Hourly Sma. Quietly Risk Of Break. Quietly Risk Of Break Grows. Risk Of Break Grows. Trend Line The 100. Trend Line The 100 Hourly.

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