• Bitcoin price is currently trading below the key $28,000 support level.
• Bears are pushing BTC/USD lower and it may test the $24,000 support soon.
• To rebound from the current downtrend, Bitcoin needs to clear the resistance near $28,300.
Bitcoin Price Takes Hit
Bitcoin price is moving lower, below $28,000. BTC/USD is signaling a downside break and might drop toward the $24,000 support.
Downside Break Below Contracting Triangle
On the daily chart, Bitcoin’s price traded below a key contracting triangle with support at $28,000. The bears pushed the price below the key 50-day simple moving average (blue).
Potential Support Levels
The next major support for Bitcoin is near the $24,000 level. It is close to the 61.8% Fib retracement level of the main increase from the $19,592 swing low to the $30,968 high. Any more losses could trigger an increase in selling pressure and push BTC towards the $22,500 and then to $20,000 levels.
Upsides Capped?
Immediate resistance for Bitcoin is near the $27,000 level with further resistance at around $28,300 and its 50-day simple moving average (blue). If there is a clear move above this zone then it could rise towards its next major resistances at around$30k and then possibly up to around$31k or even higher to$32k levels.
Conclusion
Overall, Bitcoin price is signaling bearish momentum below its key 50-day simple moving average (blue) and contracting triangle with support at around$28k on its daily chart. If BTC settles firmly belowthe$26400levelthenitmayexperiencefurthersellingpressureanddropallthewaydownbelowthe$25Ksupportleveltowardsitsnextmajorlevelatthe$24Kmarkwhichisthe61.8%Fibretracementlevelofthemainincreasefromthe$19592swinglowtothe$30968highmarker.
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