Bitcoin Price Weekly Analysis – BTC/USD To Breakdown?

Key Points

• Bitcoin price is struggling to remain above the $4100 support area against the US Dollar.
• There is a key bullish trend line with support at $4150 forming on the 4-hours chart of BTC/USD (data feed from SimpleFX).
• The pair is heading towards the trend line support at $4150 and might attempt a downside break.

Bitcoin price is finding it hard to stay above $4200-4100 against the US Dollar. More declines towards $3900 is likely in BTC/USD in the near term.

Bitcoin Price Crucial Support

There were a couple of swing moves in Bitcoin price towards $4500 against the US Dollar this past week. The price declined on a couple of occasions, but the $4000-4100 support area held the downside. The price recently recovered from the $4018 low. It traded above the 50% Fib retracement level of the last decline from the $4966 high to $4018 low. It even moved above the $4500 level and the 100 simple moving average (H4).

However, the upside move faced sellers near $4650. Buyers failed to place the price above the 61.8% Fib retracement level of the last decline from the $4966 high to $4018 low. The price moved down and traded below the $4500 support and the 100 simple moving average (H4). On the downside, there is a key bullish trend line with support at $4150 forming on the 4-hours chart of BTC/USD.

The pair is approaching the trend line support at $4150 and remains at a risk. If sellers manage to break the $4150 support, there can be more declines. The next target could the $3950 level, which is a crucial support. On the upside, the 100 simple moving average (H4) and a connecting trend line at $4450 are major barriers.

Looking at the technical indicators:

4-hours MACD – The MACD is now placed well in the bearish zone.

4-hours RSI (Relative Strength Index) – The RSI is currently well below the 50 level.

Major Support Level – $4150

Major Resistance Level – $4450

Charts courtesy – SimpleFX

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

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