Bitcoin’s Struggle Below $31K Threatens Price Plummet

Key Points:

• Bitcoin price dropped below $30,500 and the 100 hourly Simple moving average after breaking the $30,500 support zone.
• The price is now trading above the $29,850 support zone but might face resistance near the $30,500 zone.
• Bulls could push the price toward $31,000 and open doors for a move toward the $32,000 resistance zone.

Bitcoin market experienced a decline as its price moved into the red zone.

This happened after it broke the $30,500 support zone, which sent Bitcoin‘s value plummeting. However, the downturns were limited, as the price seemed to be trading in a range above the $29,850 support zone.

Despite the fall, there was a move above the 23.6% Fib retracement level of the downward move from the $31,630 swing high to the $29,868 low. Even though there was an attempt to increase above the $30,500 resistance, it was unsuccessful. This means that Bitcoin is currently trading below $30,500 and the 100 hourly Simple moving average.

On the hourly chart of the BTC/USD pair, there was also a break below a contracting triangle with support near $30,200. If the price of Bitcoin increases again, it might face resistance near the $30,300 level and the 100 hourly Simple moving average. The next resistance is near the $30,500 zone, above which the price might retest $30,750. This is close to the 50% Fib retracement level of the downward move from the $31,630 swing high to the $29,868 low.

However, if the bulls push the price above the $30,750 level, there could be a drift toward $31,000. The next major resistance is near the $31,400 level. Any more gains could open the doors for a move toward the $32,000 resistance zone. Overall, Bitcoin’s price is currently hovering around support zones, but there are opportunities for gains if the bulls push the price higher.

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