This morning, Bitcoin faced tstrong pressure from Asian traders after stock indices suffered losses. Asian traders started aggressively selling, bringing the price of Bitcoin close to $38,000.
Analysts expect the pressure to intensify in the coming days. If Bitcoin does not receive support in the 37,000-38,000 area, there will be an increased risk of Bitcoin price pulling back below $35,000. In our previous forecasts we predicted that BTC/USD would trade in the 38,000-47,000 range in the coming months. So most likely, the BTC/USD pair will still roll back up. Although on the daily chart, the BTC/USD pair has broken through the lower limit of the rising price channel.
On the hourly chart, BTC/USD fell below the 100-hour moving average and reached a low at 38,202. BTC/USD still managed to hold in the 39,300-39,950 range over the weekend, but today it fell below this range and is forming a short-term downtrend line. In the current situation, the nearest support level maybe 37,900. A breakdown of this level will send the BTC/USD pair to the next support area of 37,200.
If the bulls still manage to keep the price above 38,000, we will see it move to the upper border of the price channel. As such, immediate resistance lies in the 39,250 area. A move above this level will allow BTC/USD pair to return above 40,000. A return above 40,000 will strengthen the view of BTC/USD movement in the 38000-47000 range in the coming months.