Bitcoin price failed to gain bullish momentum after the release of the US CPI. BTC is trading below $30,500 and there is a risk of a decline towards $29,850.
- Bitcoin failed to clear the $30,850 resistance and responded to the downside.
- The price is trading below $30,500 and the 100 hourly simple moving average.
- There was a break below a connecting bullish trend line with support near $30,620 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could continue moving lower if it fails to stay above the $30,200 support.
Bitcoin price is facing another rejection
Bitcoin price attempted a fresh increase above the $30,500 resistance area. BTC rose above the $30,750 level, but the bears were active near the $30,850 resistance area.
A top was formed near $30,850 and the price reacted to the downside. There was a break below a connecting ascending trend line with support near $30,620 on the hourly chart of the BTC/USD pair. The pair even dropped below the $30,500 support.
A bottom was formed near $30,230 and the price is now consolidating losses. Bitcoin is now trading below $30,500 and the 100 hourly simple moving average.
It is stuck near the 23.6% Fibonacci retracement level of the recent decline from $30,850 to the low of $30,230. The immediate resistance is near the $30,400 level and the 100 hourly simple moving average. The next resistance is near the $30,550 area.
source: BTCUSD on TradingView.com
The 50% Fibonacci retracement level of the recent decline from $30,850 to the low of $30,230 is also near $30,550, above which the price could gain upward momentum. In the mentioned case, BTC may rise towards the $30,850 resistance. The next major resistance is near the $31,000 level. Any further gains could open the door for a move towards the $31,400 resistance area.
More losses in bitcoin?
If bitcoin price fails to clear the $30,500 resistance, it may start to decline again. There is immediate support on the downside near the $30,230 level.
The next major support is near the $30,000 level, below which there might be a decline towards the $29,850 support area. Any further losses could send the price towards $29,400 in the near term.
Technical indicators:
Hourly MACD – The MACD is now losing momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Major Support Levels – $30,230, followed by $30,000.
Major resistance levels – $30,400, $30,550 and $31,000.
