Bitcoin Price Analysis: BTC At Risk of More Downsides Below $42K

• Bitcoin price started a fresh decline below the $45,000 level against the US Dollar.
• The price is now trading below $44,500 and the 55 simple moving average (4 hours).
• There is a major bearish trend line forming with resistance near $44,400 on the 4-hour chart of the BTC/USD pair (data feed from Coinbase).
• The pair could extend its decline toward the $41,500 and $40,000 levels.

Bitcoin price is declining below $45,000 against the US Dollar. BTC might extend losses if it stays below the $45,250 resistance zone.

Bitcoin Price Analysis

Bitcoin price started a fresh decline below the $46,500 zone. There was a steady decline below the $45,000 and $44,500 levels to enter again in a bearish zone.

The bears even pushed the price below the $44,200 and $43,500 support levels. Finally, the price tested the $41,450 zone. A low is formed near $41,444 and the price is now consolidating losses. It is trading below $45,000 and the 55 simple moving average (4 hours).

There is also a major bearish trend line forming with resistance near $44,400 on the 4-hour chart of the BTC/USD pair. Immediate resistance on the upside is near the $43,260 level and 23.6% Fib retracement level of the downward move from the $49,102 swing high to the $41,444 low.

The next major resistance might be near the $44,400 zone or the trend line. A clear move above the $44,400 level might send the price toward $45,250. It is close to the 50% Fib retracement level of the downward move from the $49,102 swing high to the $41,444 low.

The main resistance is now forming near the $47,200 zone, above which the price might rise toward the $48,500 level. Any more gains might push the price toward the $50,000 zone.

If there is no upside break, the price might decline below the $42,000 level. The first major support is near $41,450. The next key support is near the $41,000 level, below which the price might accelerate lower. In the stated case, the price could decline toward the $40,000 level.

Looking at the chart, Bitcoin price is clearly trading below $45,000 and the 55 simple moving average (4 hours). Overall, the price could extend its decline toward the $41,500 and $40,000 levels.

Technical Indicators

4 hours MACD – The MACD is now losing momentum in the bearish zone.

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

Key Support Levels – $41,500 and $40,000.

Key Resistance Levels – $43,260, $44,400, and $45,250.