Bitcoin Dips From $40K, Here’s Why Uptrend Is Still Intact In BTC

Bitcoin price started a downside correction from well above $40,000 against the US Dollar. BTC is now trading near a major support at $38,000, where the bulls are currently active.

Bitcoin started a downside correction after it failed to stay above $40,000.
The price is currently just below $39,000 and the 100 hourly simple moving average.
There was a break below a key contracting triangle with support near $39,900 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair is likely to start a fresh increase unless there is a close below the $38,000 support=.

Bitcoin Price Revisits Key Support
Bitcoin topped near the $41,350 before it started a downside correction. BTC consolidated above $40,000 for some time before the bulls failed to protect the mentioned support zone.
The price declined below the $40,000 and $39,500 support levels. There was also a break below a key contracting triangle with support near $39,900 on the hourly chart of the BTC/USD pair. The pair even broke the $38,500 support level and the 100 hourly simple moving average.
However, the bulls are protecting the $38,000 support zone (the last breakout zone). The price is now consolidating above the $38,000 level. It is also just below $39,000 and the 100 hourly simple moving average. The 23.6% Fib retracement level of the recent decline from the $41,350 swing high to $38,154 low is also near the 100 hourly SMA.

Source: BTCUSD on TradingView.com
The first major resistance is near the $39,750 level. It is close to the 50% Fib retracement level of the recent decline from the $41,350 swing high to $38,154 low.
The main resistance is now forming near the $40,000 zone. A clear upside break above the $40,000 zone is likely to set the pace for a fresh rally in the near term.
More Losses in BTC?
If bitcoin fails to clear the $39,750 resistance and $40,000, it could extend its decline. An initial support on the downside is near the $38,150 level.
The first major support is near the $38,000 level. A downside break below the recent low and the $38,000 level could open the doors for a larger decline towards $36,500.
Technical indicators:
Hourly MACD – The MACD is slowly moving into the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is rising towards the 50 level.
Major Support Levels – $38,150, followed by $38,000.
Major Resistance Levels – $39,500, $39,750 and $40,000.

Avatar

Related Articles

- Advertisement -

Latest Articles

bitcoin
Bitcoin (BTC) $ 40,778.93
ethereum
Ethereum (ETH) $ 2,216.37
tether
Tether (USDT) $ 1.00
bnb
BNB (BNB) $ 229.52
xrp
XRP (XRP) $ 0.630719
solana
Solana (SOL) $ 64.19
usd-coin
USDC (USDC) $ 1.00
staked-ether
Lido Staked Ether (STETH) $ 2,217.06
cardano
Cardano (ADA) $ 0.406088
dogecoin
Dogecoin (DOGE) $ 0.086738
tron
TRON (TRX) $ 0.103669
chainlink
Chainlink (LINK) $ 15.88
the-open-network
Toncoin (TON) $ 2.44
avalanche-2
Avalanche (AVAX) $ 22.31
matic-network
Polygon (MATIC) $ 0.823361
polkadot
Polkadot (DOT) $ 5.61
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 40,699.90
litecoin
Litecoin (LTC) $ 73.90
dai
Dai (DAI) $ 1.00
shiba-inu
Shiba Inu (SHIB) $ 0.000009
bitcoin-cash
Bitcoin Cash (BCH) $ 249.76
uniswap
Uniswap (UNI) $ 6.12
okb
OKB (OKB) $ 59.52
stellar
Stellar (XLM) $ 0.123076
leo-token
LEO Token (LEO) $ 3.70
monero
Monero (XMR) $ 173.40
kaspa
Kaspa (KAS) $ 0.141302
true-usd
TrueUSD (TUSD) $ 1.00
ethereum-classic
Ethereum Classic (ETC) $ 20.16
cosmos
Cosmos Hub (ATOM) $ 9.65
crypto-com-chain
Cronos (CRO) $ 0.093475
filecoin
Filecoin (FIL) $ 4.68
lido-dao
Lido DAO (LDO) $ 2.48
internet-computer
Internet Computer (ICP) $ 4.79
thorchain
THORChain (RUNE) $ 7.16
hedera-hashgraph
Hedera (HBAR) $ 0.062978
aptos
Aptos (APT) $ 7.45
near
NEAR Protocol (NEAR) $ 2.06
bittensor
Bittensor (TAO) $ 342.52
immutable-x
Immutable (IMX) $ 1.42
mantle
Mantle (MNT) $ 0.552442
vechain
VeChain (VET) $ 0.023077
binance-usd
BUSD (BUSD) $ 1.00
optimism
Optimism (OP) $ 1.74
aave
Aave (AAVE) $ 101.23
quant-network
Quant (QNT) $ 101.66
injective-protocol
Injective (INJ) $ 17.34
render-token
Render (RNDR) $ 3.84
arbitrum
Arbitrum (ARB) $ 1.11
the-graph
The Graph (GRT) $ 0.151853