The price even spiked below $32,200, but there was no follow through move. It is now consolidating losses above the $32,200 support zone. It is now approaching the 23.6% Fib retracement level of the recent decline from the $35,975 swing high to $32,150 low.
There is also a short-term contracting triangle forming with resistance near $33,000 on the hourly chart of the BTC/USD pair. The triangle support is near the $32,200 zone.
Therefore, the first major support is near the $32,200 zone. The next key support is near the $32,000 level. If bitcoin price fails to stay above the $32,000 support, there could be a sharp decline. The next major support is near the $30,500 level. Any more losses might push the price below the main $30,000 support zone in the near term.
Upsides Limited in BTC?
If bitcoin remains stable above the $32,000 support zone, it could start an upside correction. An immediate resistance on the upside is near the $33,000 level.
The first major resistance is near $33,500. It is near the 50% Fib retracement level of the recent decline from the $35,975 swing high to $32,150 low. If there is a close above the $33,500 resistance zone, the price could rise towards the $34,000 resistance. The main hurdle is still near the $35,000 zone.
Hourly MACD – The MACD is now losing pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now rising towards the 50 level.
Major Support Levels – $32,000, followed by $31,200.
Major Resistance Levels – $33,000, $33,500 and $34,000.