Bitcoin price remained in a bearish zone and declined towards $4,350 against the US Dollar. BTC/USD is recovering, but it is facing a solid resistance at $4,775 and it could decline once again.
- Bitcoin price is trading below the key $4,775 and $5,045 resistance levels.
- BTC/USD is currently following a declining channel with resistance at $4,775 on the 2-hours chart.
- BTC price could decline once again if there is no convincing break above the $4,775 resistance.
Bitcoin Price Analysis
Yesterday, bitcoin price recovered a few points after trading to a new multi-month low around the $4,400 level against the US Dollar. BTC/USD recovered above $4,800, but it failed to clear the $5,000 resistance, resulting in fresh decline.
The 2-hour chart indicates that the price declined below the $4,600 and $4,520 levels. Sellers took control and pushed the price to a new multi-month low at $4,340 where buyers emerged.
Later, the price started a fresh upward move and corrected above the $4,500 level. During the recovery, the price traded above the 23.6% Fib retracement level of the last major decline from the $5,751 high to $4,340 low.
However, the upside move was capped by the $4,775 level, which acted as a resistance on a couple of occasions. Moreover, there is a declining channel in place with resistance at $4,775 on the same chart.
If buyers manage to push the price above the channel resistance, there could be more gains towards the $5,000 and $5,045 resistance. The 50% Fib retracement level of the last major decline from the $5,751 high to $4,340 low is also around the $5,045 level to act as a barrier.
On the flip side, if there is no upside break above the $4,775 resistance and the declining channel, the price could start a fresh decline. An immediate support is at $4,500, below which the price is likely to revisit the $4,340 swing low.
Overall, bitcoin price remains at a risk of more declines if buyers fail to push it above the $4,775 and $5,045 resistance levels.
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