TA: Bitcoin Remains At Risk, Why BTC Could Nosedive Below $38K

Bitcoin price struggled to recover above $40,000 and extended its decline against the US Dollar. BTC could dive below $38,500 if it continues to stay below $40,000. Bitcoin extended its decline below the $40,000 and $39,200 support levels. The price is now trading well below $40,000 and the 100 hourly simple moving average. There is a major bearish trend line forming with resistance near $39,250 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair must break $39,250 and $40,000 to start a fresh increase in the near term. Bitcoin Price is Struggling Bitcoin price started a fresh decline from well above $42,000 level. BTC broke the key $40,500 support level to move into a short-term bearish zone. The price even settled below the $40,000 level and the 100 hourly simple moving average. It even broke the $39,200 support zone and traded as low as $38,711. The price is now consolidating gains above the $38,700 level. An initial resistance is near the $39,250 level. There is also a major bearish trend line forming with resistance near $39,250 on the hourly chart of the BTC/USD pair. The first major resistance is near the $39,600 level. It is close to the 23.6% Fib retracement level of the recent decline from the $42,630 swing high to $38,711 low. Source: BTCUSD on TradingView.com The main resistance is now forming near the $40,500 level and the 100 hourly simple moving average. It is near the 50% Fib retracement l...