Bitcoin (BTC) Faces Fresh Support At $39,500
The Bitcoin price prediction shows BTC sliding towards the downside as the cryptocurrency touches the $39,573 low.
BTC/USD Long-term Trend: Ranging (Daily Chart)
Resistance Levels: $45,000, $47,000, $49,000
Support Levels: $36,000, $34,000, $32,000
BTC/USD is dropping with another loss of 2.80% today as the cryptocurrency falls beneath the $40,000 support level to reach the daily low at $39,573. However, the daily chart reveals that $40,000 is a very important spot as it is expected to provide strong support for the coin.
Bitcoin Price Prediction: Bitcoin Price May Cross Below $39k
The Bitcoin price begins to slide below the 9-day and 21-day moving averages at support provided by the trend line of the channel. A breakdown below this could cause the Bitcoin price to create a new low below the $39,000 level. However, a drop below the lower boundary of the channel could be detrimental to Bitcoin as it could lead the first digital asset towards the supports at $36,000, $34,000, and $32,000.
Moreover, if the buyers can rebound from the current support level of $39,995, the first level of resistance could lie at $42,000. Above this, further resistance is expected at $43,000. This may likely follow by the potential resistance levels at $45,000, $47,000, and $49,000. Presently, the Relative Strength Index (14) is likely to cross below 40-level, indicating that more bearish signals might come to play.
BTC/USD Medium-Term Trend: Bearish (4H Chart)
According to the 4-hour chart, the Bitcoin price is hovering at $39,365 trading below the 9-day and 21-day moving averages. However, if the bulls decide to push the market price back above the moving averages, the king coin may likely hit the resistance at $42,000 and above.
Moreover, it now appears that the cryptocurrency is at risk of seeing further downside in the near term, as the multiple attempts to shatter its $40,000 support seem to indicate that bears are building momentum. As the Relative Strength Index (14) remains below 40-level, the Bitcoin (BTC) may locate the critical support at $38,000 and below.
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