- Bitcoin price is consolidating losses above the $29,000 support zone.
- BTC/USD is trading in a breakout pattern with resistance near $29,650 on the 4-hour chart.
- The price could struggle to settle above the $29,650 and $30,000 resistance levels.
New Delhi(CoinChapter.com): Bitcoin price failed to clear the $30,400 resistance and settled below $30,000. BTC/USD is consolidating and remains at risk of more downsides below $29,000.
Bitcoin Price Starts Consolidation
After struggling to clear the $30,400 resistance, Bitcoin price reacted to the downside. The BTC/USD pair broke the $30,000 support to enter a bearish zone.
There was a clear move below the $29,400 support and a spike below $29,000. A low was formed near $28,924 and the price is now consolidating losses. There was a minor recovery wave above the $29,250 level and the 50 simple moving average (blue, 4-hour).
Bitcoin price 4-hour chart | Source: BTCUSD on TradingView.com
The price is now trading just below the $29,500 level. It is also trading in a breakout pattern with resistance near $29,650 on the 4-hour chart.
Immediate resistance could be near the $29,650 level. It is close to the 50% Fib retracement level of the downward move from the $30,380 swing high to the $28,924 low. The next key resistance is near the $30,000 zone.
The 76.4% Fib retracement level of the downward move from the $30,380 swing high to the $28,924 low is also near the $30,000 level. The main breakout and trend change resistance could be $30,400. A successful daily close above the $30,400 resistance could initiate strong bullish moves. In the stated case, Bitcoin might rise toward $31,400.
If the bears remain active below $30,000, there is a risk of a fresh decline. Immediate support is near the $29,250 level. The next key support is near $29,000.
A close below the $29,000 support might spark a move toward the $28,200 support zone. If Bitcoin fails to stay above the $28,400 support, there could be a drop toward the $27,500 level. Any more losses might open the doors for a move toward the $26,500 level.
Overall, Bitcoin price is consolidating losses above the $29,000 pivot zone. There could be a recovery wave above the $29,650 level, but the bears could remain active and attempt another decline. A close below the $29,000 support might set the pace for another 8%-10% drop in the coming sessions.
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