Bitcoin Price Key Indicators Suggest A Strong Case For More Losses

2023-08-16 04:39:27

Bitcoin price moving lower below the $29,500 zone. BTC remains at risk of more downsides below the $29,000 support zone.

Bitcoin is still trading well below the $29,650 resistance zone.
The price is trading below $29,300 and the 100 hourly Simple moving average.
There is a connecting bearish trend line forming with resistance near $29,250 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could continue to move down and break the $29,000 support zone.

Bitcoin Price Turns Red

Bitcoin price failed to start a recovery wave above the $29,500 resistance zone. BTC started another decline from the $29,450 swing high. There was a clear move below the $29,250 level.

The price retested the $29,100 support zone. A low is formed near $29,075 and the price is now consolidating losses. It is trading above the 23.6% Fib retracement level of the recent decline from the $29,450 swing high to the $29,075 low.

Bitcoin is now trading below $29,300 and the 100 hourly Simple moving average. There is also a connecting bearish trend line forming with resistance near $29,250 on the hourly chart of the BTC/USD pair.

Immediate resistance is near the $29,250 level and the trend line. It is close to the 50% Fib retracement level of the recent decline from the $29,450 swing high to the $29,075 low. The next major resistance is near $29,360 and the 100 hourly Simple moving average.

Source: BTCUSD on TradingView.com

The first major resistance is now forming near the $29,500 level. The main resistance is still near $29,650. A close above the $29,650 resistance could start a decent increase toward the $30,000 resistance zone. Any more gains might set the pace for a larger increase toward $30,500.

More Losses In BTC?

If Bitcoin fails to clear the $29,360 resistance, it could continue to move down. Immediate support on the downside is near the $29,100 zone.

The next major support is near the $29,000 level. A downside break below the $29,000 level might start another steady decline. In the stated case, the price could drop toward $28,400.

Technical indicators:

Hourly MACD – The MACD is now gaining pace in the bearish zone.

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

Major Support Levels – $29,100, followed by $29,000.

Major Resistance Levels – $29,250, $29,360, and $29,500.

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