TA: Bitcoin signals a new drop, why might BTC dips be limited?

Bitcoin price extended its upward move above the USD 37,500 resistance against the US Dollar. BTC failed to clear $38,500 and it is now correcting lower. Bitcoin traded above $38,000 but did not stay above $38,500. The price is currently well above $35,000 and the 100 simple hourly moving average. There was a break below a key bullish trend line with support near $36,500 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair could extend its decline, but the bulls are likely to remain active around $35,000. Bitcoin Price Correction Gains Bitcoin climbed well above $35,000 and extended its upward move. BTC even broke the $37,500 resistance, but the bulls failed to gain strength before breaking the $38,500 hurdle. It peaked around $38,425 and the price is now declining. It broke the $37,000 support level to start the current correction. There was a break below the 23.6% Fib retracement level of the wave from the $31,052 high to $38,423 high. Additionally, there was a break below a major bullish trend line with support near USD 36,500 on the hourly chart of the BTC/USD pair. However, the pair is still well above $35,000 and the 100 hourly simple moving average. Source: BTCUSD on TradingView.com On a positive note, initial resistance is near the $37,000 level. The first major resistance is near the USD 37,500 level, above which the price is likely to revisit the USD 38,500 resistance area in the near term. The main resistance is still near the USD 40,000 level. Are dips supported in BTC? If bitcoin fails to break the $37,500 resistance, it could extend its decline. An initial support on the downside is near the $36,000 level. The first major support is near the $35,500 level. The main support is currently forming near the $35,000 level and the 100 hourly SMA. It is near the 50% Fib retracement level of the bullish wave from the $31,052 high to $38,423 high. A break below the $35,000 support zone could pull the price back

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