Bitcoin (BTC) Resumes Downtrends; Indicators Show Limited Upsurge

ByDawn Pipkin

Dec 29, 2021
  • BTC kick-started a new downtrend under the $50K and $49.5K support areas.
  • The crypto has its price actions beneath $49K and 100-Hr Simple Moving Average (SMA).
  • Kraken data indicates a break beneath a bearish continuation formation will support a mark around $49.2K on one-hour BTC/USD’s chart.
  • The pair might resume uptrends, but $49.2K appears to limit upsides in the short term.

Bitcoin launched another plummet under the support of $50K. The crypto remains vulnerable to further losses beneath $47.5K in the short term.

BTC Price on a Bearish Momentum

Bitcoin (BTC) could not gain momentum and launched a new downtrend beneath the support barrier of $50K. The leading digital asset traded under $49.2K and $49K, moving into bearish territory. Besides, BTC/USD 1-hour chart shows a break under the bearish continuation set up with the support of around $49.2K. The asset even traded under the support level at $48.5K, nearing the price zone at $47.2K.

Bitcoin has its low at $47.3K and stays in consolidating mood. Moreover, the asset trades beneath $49K and the 100Hr SMA. The closest upward resistance stands around $48.2K. The initial critical resistance is at $48.5K. The 23.6% Fibonacci retracement area of the latest drop to $47,305 from $52,111 stands near $48.5K. The following crucial resistance might be $49.8K.

Meanwhile, the 50% Fibonacci area of the latest plunge from $52,111 swing high to $47,305 low stands around $49.7K, acting as a resistance. A decisive move past the resistance at $49.8K might trigger a new upswing. The next crucial stop for Bitcoin bulls might be around the $51,200 area.

More Bitcoin Losses?

Bitcoin might continue dropping if it fails to rise above $49.2K. The closest support is around the $47.5K area. Meanwhile, the first massive support is at $47.2K. A downward break under $47.2K might push BTC prices to the support floor at $46.5K. Further losses might see the bellwether crypto hitting the barrier of $45.5K.

BTC Technical Indicators

  • Critical support zones – $47.2K and $46.5K
  • Crucial resistance zones – $48.2K, $48.8K and $49.8K
  • BTC/USD’s Relative Strength Index is well beneath the 40-mark.
  • Hourly MACD loses pace inside bearish region.

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