Bitcoin got rejected at the key resistance area of $41,000-$42,000 and pulled back towards $37,400 where we find the first important Fibonacci retracement.
Red lines - resistance trend lines
Blue lines - Fibonacci retracements
Bitcoin has reached the 38% Fibonacci retracement and is bouncing off this support level. This price level is now confirmed support and a break below it will push price towards the 61.8% Fibonacci level at $34,200. If bulls manage to hold above the 38% Fibonacci level, then we should expect another push and try to break above the key resistance of $41,000-$42,000.
