Bitcoin Price Analysis: BTC/USD At Risk Of More Declines

Bitcoin price is under pressure below the $6,550 resistance against the US Dollar. BTC/USD is at risk of more losses below the $6,400 support level in the near term.

Important points

• Bitcoin declined heavily and moved below the $6,550 support area.
• BTC/USD is finding bids near a major bullish trend line with support at $6,380 on the 2-hours chart.
• BTC price could decline in the near term below the $6,380 and $6,350 supports.

Bitcoin price analysis

Bitcoin price failed to gain momentum above the $6,750 level and started a downside move against the US Dollar. BTC/USD declined heavily and moved below the $6,650 and $6,550 support levels to turn short-term bearish.

The 2-hours chart of BTC price indicates that buyers struggled to keep bitcoin above the $6,600 support and settled below the 100 simple moving average (2-hours).

During the decline, there was a break below the 50% Fib retracement level of the last leg from the $6,120 swing low to $6,845 high. At present, the price is testing an important support near the $6,380-6,350 zone.

More importantly, there a major bullish trend line in place with support at $6,380 on the same chart. Should bitcoin buyers fail to keep the price above the $6,380 level, the price could tumble towards the $6,300 level in the near term.

The next major support is $6,293, which is the 76.4% Fib retracement level of the last leg from the $6,120 swing low to $6,845 high. Below the mentioned fib level, the price may perhaps test the $6,190-6,180 zone.

On the flip side, if the price corrects higher, there is a bearish trend line in place with resistance at $6,520. Furthermore, the 100 simple moving average (2-hours) is positioned near the $6,520 level.

Therefore, the price has to break the $6,520 and $6,550 levels to move into a positive zone. Overall, there are many bearish signs emerging on the chart below $6,550. If there is a break below the trend line support, there are high chances of a test of the $6,190 support.