Bitcoin (BTC) price continues to move in a downward correction. The upside keeps bumping up against rejection at the $49,600 high.
The selling pressure is easing at the $45,500 price level. In other words, the cryptocurrency is trading between $45,500 and $50,000. Today, Bitcoin is falling after rejection at the resistance level of $49,600.
If the bears manage to break the support at $45,500, the sellers will drop Bitcoin to the low of $41,634. The crypto price has already fallen to a low of $41,634 during the December 4 slump. On the other hand, if Bitcoin rallies above the current support, the market will rally above $50,000. The bullish momentum will extend to the high at $54,000. Meanwhile, BTC/USD has fallen to $48,535 as of press time.
Bitcoin is at level 43 on the Relative Strength Index for period 14. The cryptocurrency is still trading in the bearish trend zone. A break above $50,000 resistance will take Bitcoin into the bullish trend zone. Bitcoin price has fallen below the 20% area of the daily stochastic. This suggests that selling pressure has reached bearish exhaustion. The moving averages of the 21-day line and the 50-day line are leaning south.
Major Resistance Levels - $65,000 and $70,000
Major Support Levels - $60,000 and $55,000
Currently hovering between $45,500 and $50,000, Bitcoin is currently sloping downwards. Meanwhile, the downtrend from December 22 has a candle body testing the 61.8% Fibonacci retracement level. The retracement suggests that BTC will fall to the 1.618 Fibonacci extension level or $47,680.
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.