Bitcoin price is trading in a bearish zone below the $8,040 pivot level. BTC/USD is likely to accelerate lower if there is no recovery above $7,820 and $8,040.
In the past few sessions, there was an increase in selling pressure on the bitcoin price below the $8,040 pivot level. BTC/USD even settled below the $7,820 support area to move further into the bearish zone.
Looking at the 1-hour chart, the price is now trading well below the $7,700 level and the 25 simple moving average (1-hours, orange). The recent low was formed near $7,608 and the price remains at a risk of more downsides in the near term.
The market data is provided by TradingView, Bitfinex.
If there is an upside correction, initial resistance lies near the $7,710 level. It is close to the 23.6% Fib retracement level of the drop from the $8,038 swing high to the $7,608 low.
The first key resistance is near the $7,820 level and the 25 simple moving average (1-hour, orange). It is also near the 50% Fib retracement level of the drop from the $8,038 swing high to the $7,608 low.
Moreover, the bitcoin price is following a key bearish trend line with resistance near $7,940 on the same chart. Therefore, a decent upward move in BTC could face a strong selling interest near the $8,000 and $8,040 levels.
If the price fails to recover above $7,820 and $8,040, there is a risk of more losses. Initial support is near the $7,550 level, below which the bears are likely to aim a test of the $7,400 support area.
Overall, Bitcoin is likely to accelerate lower below $7,550 and $7,500 in the coming sessions.