Daily Bitcoin Price Analysis, BTC Bulls Continue to Struggle Near $3,880

Bitcoin Price Analysis

Daily Bitcoin Price Analysis, BTC Bulls Continue to Struggle Near $3,880

Bitcoin price failed once again near the $3,880 resistance against the US Dollar. BTC/USD corrected lower recently and tested the $3,740 support.

Important Points:

    • Bitcoin price faced a strong resistance near $3,880 and failed on many occasions.
    • BTC is placed nicely above a major bullish trend line with support at $3,730 on the 2-hours chart.
    • The price may bounce back again and it could break the $3,880 resistance in the near term.

Bitcoin Price Analysis, Jan 4th, 2019

Recently, there was an upward move above the $3,800 resistance in bitcoin price against the US Dollar. However, the BTC/USD pair failed once again near a significant resistance area at $3,880 and later declined below $3,800.

The 2-hours chart indicates that the price traded as high as $3,882 and later started a downside correction. It declined below the $3,840 and $3,800 support levels to enter a short-term bearish zone.

Bitcoin Price Analysis | Coingape
Chart Source by TradingView, Binance

Besides, there was a break below the 50% Fib retracement level of the recent wave from the $3,645 low to $3,882 high. However, the decline was protected by the $3,740 support area and the 100 simple moving average (2-hours).

More importantly, the 61.8% Fib retracement level of the recent wave from the $3,645 low to $3,882 high also acted as strong support. If there is a drop below the $3,740 support, the price may extend losses towards the $3,720 level and a major bullish trend line with support at $3,730 on the same chart.

A break below the trend line support and $3,720 will most likely clear the path for sellers to take control in the near term.

On the upside, initial resistance is near the $3,825 level, above which the price may climb towards the $3,880 resistance.

A proper close above the $3,880 and $3,900 resistance levels is a must for an upside acceleration in the coming sessions for bitcoin price. 

Overall, the current bitcoin price action is positive above the $3,720 support. However, if Bitcoin buyers continue to struggle near the $3,880 resistance, there could be a sharp bearish reaction below the $3,700 level. Alternatively, a clear break above $3,880 might set the pace for more gains above $4,000.

Visit our price analysis for more cryptocurrency price updates.

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Daily Bitcoin Price Analysis, BTC Bulls Continue to Struggle Near $3,880
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Daily Bitcoin Price Analysis, BTC Bulls Continue to Struggle Near $3,880
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Bitcoin price failed once again near the $3,880 resistance against the US Dollar. BTC/USD corrected lower recently and tested the $3,740 support.
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Author: Latika Mehrotra

Passionate about technology and science. Pursuing Doctorate in the field of Data Mining, Professor by profession and loves writing interesting articles about Cryptocurrencies, bitcoin, Ethereum, ripple, Forex and commodities. Reach out to her [email protected]

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Latika Mehrotra 71 Articles

Passionate about technology and science. Pursuing Doctorate in the field of Data Mining, Professor by profession and loves writing interesting articles about Cryptocurrencies, bitcoin, Ethereum, ripple, Forex and commodities. Reach out to her [email protected]

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