Bitcoin price failed to correct above the $55,750 zone against the US Dollar. BTC is showing bearish signs and it remains at a risk of more losses below $54,000.
- Bitcoin failed to correct higher and it struggled to settle above $55,500.
- The price is now trading well below $55,500 and the 100 hourly simple moving average.
- There is a key bearish trend line forming with resistance near $56,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair is likely to decline heavily if it fails to stay above $54,000 and $53,750.
Bitcoin Price Signaling Bearish Signs
Yesterday, we saw a crucial decline in bitcoin below the $55,500 support zone. BTC even broke the $54,000 level before starting an upside correction.
There was a recovery above the $55,000 resistance. The price even climbed above $55,500, but there was no follow up move. A high was formed near $55,757 before the price declined again. It broke the $55,000 support zone.It is now trading well below $55,500 and the 100 hourly simple moving average. There is also a key bearish trend line forming with resistance near $56,000 on the hourly chart of the BTC/USD pair.
Source:An initial resistance on the upside is near the $54,650 level. It is near the 50% Fib retracement level of the recent drop from the $55,757 high to $53,504 low. The first major resistance is near the $54,850 and $55,000 levels.
