TA: Bitcoin Recovers Losses But Here’s Why $41.5K Could Prevent Gains

Bitcoin extended decline below the $39,000 level against the US Dollar. BTC found support near the $38,550 zone and started a strong recovery wave. Bitcoin extended decline below the $39,250 and $39,000 levels before it found support. The price is now trading above $40,000 and the 100 hourly simple moving average. There was a break above a major bearish trend line with resistance near $40,220 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair must clear the $41,500 resistance zone to start a major upward move. Bitcoin Price Still Faces Hurdles Bitcoin price followed a bearish path below the $40,000 level. BTC even traded below the $39,200 support and declined to a new weekly low. It spiked below $39,000 and traded as low as $38,570. Recently, it started a strong recovery wave and climbed above the $40,000 resistance zone. There was a break above a major bearish trend line with resistance near $40,220 on the hourly chart of the BTC/USD pair. Bitcoin is now trading above $40,000 and the 100 hourly simple moving average. It even traded above the $41,000 level, but failed to clear the $41,500 resistance zone. A high is formed near $41,334 and the price is now correcting gains. It is testing the 23.6% Fib retracement level of the recent increase from the $38,570 swing low to $41,334 high. An immediate resistance on the upside is near the $41,000 level. Source: BTCUSD on TradingView.com The next key resistance...