Bitcoin collapsed to clear the $50,000 resistance zone against the US Dollar. It is sliding and there is a risk of more drawbacks below $47,000.
At the time of writing, Bitcoin made two attempts to clear the $49,500 resistance but failed. Also, the price is now trading below $48,500 and the 100 hourly basic moving average.
Moreover, there is a linkage of the bullish trend line making with support near $47,500 on the hourly chart of the BTC/USD pair. Further, the pair could fall heavily if there is a crack below the $47,500 support zone.
However, the bitcoin price started a restoration wave above the $48,500 resistance zone. Nonetheless, BTC failed to clear the $49,500 resistance zone. It made two attempts to clear $49,500, but there was no clean break.
Consequently, there was a bearish reaction below the $48,500 level. The price declined below the 50% Fib retracement level of the upward move from the $46,662 swing low to $49,512 high. It is now trading below $48,500 and the 100 hourly simple moving average.
Bitcoin price is now trading near the 76.4% Fib retracement level of the upward move from the $46,662 swing low to $49,512 high. There is also a connecting bullish trend line forming with support near $47,500 on the hourly chart of the BTC/USD pair.
On the upside, the first major resistance is near the $48,000 level and the 100 hourly SMA. The next key resistance could be $48,500. Further, the main hurdle is still near $49,500 above which the price could attempt an upside break above the $50,000 level in the short run.
