Bitcoin’s gains against the US dollar have now surpassed $42,500. After BTC struggled near $43,000, it began a sharp downtrend. Bitcoin began a new decline after failing to break through the $43,000 resistance level.

The price is currently trading below $41,000 and the 100 hourly simple moving average. On the hourly chart of the BTC/USD pair, there was a break below a major bullish trend line with support near $41,250. The pair could make another attempt to rise, but the $41,000 resistance is the key.

Bitcoin’s price has remained well above the $41,500 resistance level. BTC gained momentum and broke through the $42,000 resistance level. It even surpassed the $42,500 mark and the 100 hourly simple moving average.

However, the bulls were unable to push the price above $43,000. A high was formed near $42,950, and the price reacted negatively. There was a significant drop below the $42,000 level. Furthermore, on the hourly chart of the BTC/USD pair, there was a break below a major bullish trend line with support near $41,250.

There was a break below the 50 percent Fib retracement level of the upward move from the swing low of $38,750 to the high of $42,950. Bitcoin is currently trading below $41,000 and below the 100 hourly simple moving average.

The price is now consolidating above the 61.8 percent Fib retracement level of the upward move from the swing low of $38,750 to the high of $42,950. On the upside, immediate resistance is near the $40,750 level.

The next significant resistance level could be $40,950 and the 100 hourly simple moving average. To begin a strong upward move, the price must settle above the $41,000 zone and the 100 hourly simple moving average. If the bulls are successful, the price could rise to the $41,800 resistance level.

More Bitcoin Losses?

If Bitcoin fails to break through the $41,000 resistance level, it may continue to fall. On the downside, immediate support is near the $40,250 level. The next significant support is seen near the $40,000 mark. If the price falls below $40,000, it may move towards the $39,250 support zone.