08 Jan Bitcoin Gold Price Technical Analysis – BTG/USD Eyeing Downside Break
- Bitcoin gold price is currently under pressure and is trading below the $250 support against the US Dollar.
- There is a crucial ascending channel forming with current support at $240 on the hourly chart of BTG/USD (data feed from Bitfinex).
- The pair is attempting a downside break below the $240 and $230 support levels.
Bitcoin gold price is showing a few bearish signs from $275 against the US Dollar. BTG/USD may decline further toward the $225 level.
Bitcoin Gold Price Decline
There was a minor upside wave in bitcoin gold price above the $260 level against the US Dollar. The price traded above the $270 level, but failed to gain traction above $275. Later, a fresh downside wave was initiated and the price moved below the $260 and $250 support levels. At the moment, the price is testing the $240 support level and is struggling to stay above the mentioned level.
Technically, there is a crucial ascending channel forming with current support at $240 on the hourly chart of BTG/USD. The channel support at $240 is currently holding further declines. Should there be a break below $240, the price may accelerate declines toward the $230 and $225 support levels. On the upside an initial resistance is around the 23.6% Fib retracement level of the last drop from the $273 high to $237 low. However, any major recovery from the current levels is likely to face a strong barrier at $254.
The mentioned $254 is the 50% Fib retracement level of the last drop from the $273 high to $237 low. Overall, the current price action is bearish on BTG and it seems like there can be a break below $240.
Looking at the technical indicators:
Hourly MACD – The MACD for BTG/USD is showing negative signs in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTG/USD is currently well below the 50 level.
Major Support Level – $225
Major Resistance Level – $255
Charts courtesy – Trading View, Bitfinex
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