TA: Bitcoin Dives Below $40K, Why BTC Could Recover In Short-Term

Bitcoin gained bearish momentum and even declined below $40,000 against the US Dollar. BTC could recover if it manages to climb above the $40,000 pivot level. Bitcoin remained in a bearish zone and extended decline below $40,000. The price is now trading below $40,000 and the 100 hourly simple moving average. There is a steep bearish trend line forming with resistance near $39,700 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair could start a short-term recovery if there is a move above $40,000. Bitcoin Price Gains Bearish Pace Bitcoin price struggled to recover above the $43,500 level. BTC started another decline and traded below the $42,000 support level. The bears took control and pushed the price below the $41,000 level. There was also a clear move below the $40,000 support zone and a close below the 100 hourly simple moving average. The price traded as low as $39,240 and is currently consolidating losses. An immediate resistance on the upside is near the $39,700 level. There is also a steep bearish trend line forming with resistance near $39,700 on the hourly chart of the BTC/USD pair. The first major resistance is forming near the $40,000 level. The next resistance could be near $40,200. It is close to the 23.6% Fib retracement level of the recent decline from the $43,415 swing high from the $39,240 low. A clear move above the $40,000 and $40,200 levels might start a short-term recovery wave. Sou...