Bitcoin faces hurdles, why BTC could correct in the short term

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The price of Bitcoin is facing strong resistance above $ 46,500 against the US dollar. BTC is slowly correcting lower and could test the $ 44,500 support area.

Bitcoin made a few attempts to settle above $ 46,000, but it failed. The price is still trading above $ 45,000 and the 100 hour simple moving average. There was a break below a key uptrend line with support near $ 45,450 on the hourly chart of the BTC / USD pair (Kraken data feed). The pair could correct down to $ 44,500 or even $ 44,000 in the short term. Bitcoin Price Could Correct Gains

Bitcoin was priced at $ 46,546 before it was faced with sellers, like Ethereum. BTC made a few attempts to settle above $ 46,000, but it failed.

It is now correcting lower and trading below the $ 45,600 level. There was a break below the 23.6% Fib retracement level of the bullish move from the low of $ 42,843 to $ 46,546. Additionally, there was a break below a key uptrend line with support near $ 45,450 on the hourly chart for the BTC / USD pair.

The pair is still trading above $ 45,000 and the 100 hour simple moving average. Immediate downside support is near the $ 45,000 level.

Source: BTCUSD on TradingView.com

On the upside, initial resistance is near the $ 46,000 level. The first key resistance is near the $ 46,200 level. Major resistance is now forming near the $ 46,500 level. A clear break above the resistance area of ​​$ 46,500 could start a decent rise. The next major resistance is near the $ 47,000 level. Any further gain could drive the price towards the $ 48,000 level.

Dips supported in BTC?

If bitcoin fails to break above the resistance levels of $ 46,000 and $ 46,200, it could continue to fall. Initial bearish support is near the $ 45,000 level.

The first major support is now near the $ 44,500 area and the 100 hour SMA. It is near the 50% Fib retracement level of the bullish move, dropping from the low of $ 42,843 to $ 46,546. Further losses may require a test of the $ 44,000 level. The next major support could be $ 43,000.

Technical indicators:

Hourly MACD The MACD is slowly losing steam in the bullish zone.

Hourly RSI (Relative Strength Index) The RSI for BTC / USD is now near the 50 level.

Major support levels $ 45,000, followed by $ 44,500.

Major resistance levels $ 46,000, $ 46,200 and $ 46,500.

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