- Bitcoin kick-started downtrends after the crypto failed to overcome the resistance at $43.5K.
- BTC has its price actions beneath the $41K and 100-hourly Simple Moving Average.
- The last session had the crypto on a free fall, dropping to hover at $38,780 at this publishing.
- Losing the vital support at $39.2K might translate to further downswings.
Bitcoin launched a continuous drop since meeting the resistance at $43.5K. The downswings had BTC plunging the vital $40K mark, hovering around $38,780 at this publication.
BTC Price Drops Massively
Bitcoin had gained momentum for a move past the $42.5K mark. However, the cryptocurrency could not gain strength to overcome the critical resistance level of around $43.2K. Bitcoin recorded a high around the $43,497 mark before bears emerged. The resulted downswings saw Bitcoin plunging beneath the support at $42K and 100-hourly SMA. BTC saw a free fall following that, exploring levels above $38.7K.
For now, the coin lost the support at $41.2K and the psychological mark around $40K. Meanwhile, Bitcoin started consolidating its losses after forming a low of around $39,261. However, active bears drove BTC below $39K.
For now, Bitcoin has a new immediate resistance at $40,250, around the 23.6% Fibonacci retracement of the latest crash from swing high at $43,497 to lows below $39K. The initial critical resistance stands at $40.5K. Breaking past this hurdle might lead to new uptrends towards $41.2K.
Overcoming this level will see bulls targeting a value area at $42.5K. Further upside actions might see the leading cryptocurrency challenging the resistance at $43.5K.
Further BTC Drops?
Failure to rally beyond $40.5K might lead to more declines in Bitcoin. The closest barrier sits at $39.5K. Meanwhile, the first vital support stands at $39.2K. Losing this foothold might mean massive plunges by Bitcoin. The following support stands near $38.5K, beneath which BTC might drop towards the $38K mark. For now, Bitcoin appears weak, and further downswings might emerge before the upside strength.
BTC Technical Indicators
- Hourly RSI stays in the oversold region.
- Hourly MACD gains pace within bearish area.
- Critical Support zones – $39.5K, then $39.2K
- Crucial Resistance zones – $40,250, $40.5K and $41.2K.