Bitcoin Drops Below $17K in Fresh Price Action

Bitcoin Drops Below $17K in Fresh Price Action

Bitcoin, (BTC:USD) the largest digital currency, have been making an uptrend in the latest rally but backpedalled slightly below $17,000 early on Tuesday. Bitcoin price had settled above the $17,000 resistance zone and extended its increase. BTC was able to clear the $17,100 and $17,200 resistance levels.

The price even spiked above $17,400 and traded close to the $17,500 resistance zone. However, the bears were active near the $17,500 resistance zone. A high was formed near $17,440 and the price started a downside correction.

Bitcoin price declined below the $17,200 level and the 100 hourly simple moving average. There was a break below a key bullish trend line with support near $17,050 on the hourly chart of the BTC/USD pair.

The price traded as low as $16,888 and is currently rising. It is trading near $17,000 and the 100 hourly simple moving average. It is trading above the 23.6% Fib retracement level of the recent decline from the $17,440 swing high to $16,888 low.

On the upside, immediate resistance is near the $17,165 level. It is near the 50% Fib retracement level of the recent decline from the $17,440 swing high to $16,888 low. The first major resistance is near the $17,250 zone, above which the price may perhaps start another steady increase.

In the stated case, the price could rise towards the $17,500 resistance. The next major resistance is near $17,650, above which the price rise towards the $18,000 zone in the near term. READ: FX: Parallel Market Rate Hits Resistance Level – Analysts

If bitcoin fails to start a fresh increase above the $17,165 resistance, there could be more downsides. Immediate support on the downside is near the $16,850 level.

The next major support is near the $16,800 zone. A downside break below the $16,800 support might call for a move towards $16,500. Any more losses might call for a test of the key $16,000 support zone in the near term. #Bitcoin Drops Below $17k in Fresh Price Action

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