Bitcoin Price Could See Downside Thrust Before Fresh Upside in 2024

NEW DELHI (CoinChapter.com) — Bitcoin is facing a major barrier of $44,500 and $45,000. BTC/USD might correct lower toward $40,000 before the bulls take a stand.

Bitcoin Price Remains In Uptrend

In the past few weeks, Bitcoin’s price steadily increased above the $42,000 resistance. BTC even climbed above the $44,000 zone before the bears appeared. It seems like the price struggled even to test the $45,000 resistance.

A high was around $44,699, and the price started a downside correction. There was a minor decline below the $43,500 support zone. The price tested the 23.6% Fib retracement level of the upward move from the $26,562 swing low to the $44,699 high.

Bitcoin remained well-bid and made another attempt to surpass $44,500. However, the bulls failed to gain strength for a move above $45,000. In the past 2-3 days, BTC saw bearish moves. It even dragged Ethereum and Solana lower.

The price is stable above the 50-day simple moving average (blue). A major bullish trend line is forming with support at $40,400 on the daily chart.

Bitcoin could see a downside thrust toward the trend line and the 50-day simple moving average (blue). If the bulls fail to protect the $40,000 support zone, there could be more downsides. The next key support is near the $38,500 level.

Any more losses might send the price toward the 50% Fib retracement level of the upward move from the $26,562 swing low to the $44,699 high at $35,630.

Fresh Rally in 2024?

Conversely, Bitcoin might remain stable above $40,000 and start a fresh rally in the New Year. On the upside, the first resistance sits near the $42,500 level. The next key resistance for the bulls might be near the $43,500 zone.

If the bulls pump BTC above $43,500, the price could revisit the $44,700 resistance. A close above $44,700 could open the doors for a move toward the $48,000 level.

Overall, Bitcoin price shows signs of a sharp decline toward the $40,000 support before a fresh surge. If BTC fails to stay above $40,000, there could be a wave toward the $35,630 level in the coming weeks.