Bitcoin price is slowly moving lower and it is trading well below $33,500 against the US Dollar. BTC remains at a risk of a larger decline if it breaks the $32,000 support zone.
In the past few sessions, bitcoin price saw bearish moves below the $34,000 and $33,500 support levels. BTC even traded below the $33,000 level and it settled well below the 100 hourly simple moving average.
There was also a break below a bearish continuation pattern with support near $32,900 on the hourly chart of the BTC/USD pair. It is now trading near $32,200, but it is well below the 100 hourly simple moving average. The recent low was formed near $32,208 and the price is now consolidating.
An immediate resistance is near the $32,500 level. It is near the 23.6% Fib retracement level of the recent decline from the $33,354 high to $32,208 low.
Source: BTCUSD on TradingView.com
There is also a declining channel forming with resistance near $32,800 on the same chart. The channel resistance is close to the 50% Fib retracement level of the recent decline from the $33,354 high to $32,208 low. A clear break above the channel resistance and then $33,000 could start a decent recovery. The next major resistance sits near $33,500.
If bitcoin fails to recover above the $33,000 and $33,500 resistance levels, there is a risk of a larger decline. An initial support on the downside is near the $32,200 level.
The main support is still near the $32,000 level, below which the price might easily dive towards the $30,000 level. Any more losses could set the pace for a drop towards the $28,800 level in the near term.