In the mercurial world of cryptocurrency, Bitcoin continues to struggle with volatility as it attempts to establish a firm foothold above the $38,000 threshold. However, the premier digital currency is beset by bearish signals that could presage a slide beneath the $37,150 support level.
Bitcoin encounters stiff opposition at the $37,750 resistance mark. Its trading activity is hemmed in below $37,500 and the cornerstone 100 hourly Simple Moving Average—a troubling sign for bullish investors. Moreover, a discernable bearish trend line is emerging, presenting resistance near $37,450 on the hourly chart for the BTC/USD pair, according to the latest data drawn from Kraken exchange.
Should Bitcoin shatter the $37,150 support, it invites the danger of an extended downward correction.
In a recent flurry of activity, Bitcoin made a spirited dash towards the $37,750 resistance, briefly catapulting beyond both the $37,750 and $38,000 resistances. Despite these valiant efforts, the digital currency could not cement its presence above the $38,000 milestone.
A fleeting peak was achieved at approximately $38,432 before the price rapidly retracted, slipping under the $38,000 and $37,750 levels. Bitcoin’s price now huddles around a low near $37,151, marred by bearish signals beneath the 23.6% Fib retracement level of its past descent from the $38,432 apex to the $37,151 nadir.
Current trading conditions place Bitcoin below the pivotal $37,500 line and the 100 hourly Simple Moving Average. On a granular level, the digital currency faces imminent resistance at $37,400, perpetuated by the bearish trend line forming near $37,450 on the hourly scale of the BTC/USD pair.
A fortress of major resistance is mounting near $37,750, with the principal barrier lying in wait at the $38,000 level—the 61.8% Fib retracement level of Bitcoin’s recent backslide. Should Bitcoin break through the $38,000 resistance, it may ignite a significant uptrend.
Beyond this, the next critical resistance looms at $38,500. A successful ascent past this marker could propel Bitcoin to retest the $39,200 boundary, and potentially, embark on a rally towards the elusive $40,000 resistance zone.
However, if Bitcoin continues its pattern and fails to rise above the $38,000 resistance, it may succumb to another downturn. The immediate support to watch is at $37,150, with significant backing at $36,700. A breach below this could pave the way for further losses, potentially dragging the price down towards the $36,000 support. Should this trend persist, Bitcoin may seek sanctuary at $35,650—a key support milestone.
Hourly technical indicators paint a somber picture. The MACD accelerates its movement within the bearish zone, and the RSI for BTC/USD remains subdued below the midpoint mark of 50.
As investors grapple with Bitcoin’s uncertainties, they keep a vigilant eye on the support levels of $37,150 and $36,700, and conversely, at the ceilings of resistance at $37,750, $38,000, and $38,500.
