Bitcoin Struggles above $37,000 Support, Risks Further Decline

Bitcoin (BTC) continues its downward correction as buyers try to keep the price above the $38,000 level. Yesterday, the BTC price rose to a high of $38,270, but the cryptocurrency pulled back.

Today, the market has retreated to $36,700 as the bulls are buying  the dips. Since January 26, the bears have been providing tough resistance between the resistance zones at $38,000 and $39,000. If the bulls overcome the resistance zones, Bitcoin will complete an accelerated upward movement to the high at $44,000. 

Nonetheless, the cryptocurrency will continue to rise if buyers maintain the bullish momentum to the upside. Today, the price of BTC declined after yesterday's rejection of the recent high. However, if the bears drop below the support at $37,000, the selling pressure will increase again. The bears will try to push the price of BTC to the current support at $33,600. A break below the current support will cause Bitcoin to fall to the psychological price level of $30,000.

Bitcoin indicator reading

Bitcoin price is at level 33 on the Relative Strength Index for period 14, and bears have broken below support at $37,000. The RSI could fall to the level 30 if Bitcoin regains the previous low at $33,600. Bitcoin price bars have remained below the moving averages, which has brought the cryptocurrency down. The BTC price has resumed its bearish momentum as the price falls below the 40% area of the stochastic on the daily chart. 

Technical indicators:  

Major Resistance Levels - $65,000 and $70,000

Major Support Levels - $60,000 and $55,000

What is the next direction for BTC?

BTC/USD is in a downtrend as the price has dropped below $37,000. As a result, Bitcoin will fall to the $33,600 price level. In the lower price range, Bitcoin risks a further decline to the crucial support at $30,000. The cryptocurrency has fallen to the low of $36,920 at the time of writing.

Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.