# Bitcoin Price Analysis Dec 26: BTC Eyes Last Line of Defense

• The price declined below $3,780 and it remains at risk of more losses. ## Bitcoin Price Analysis After a sharp upward move, bitcoin price faced sellers near the$4,195 level against the US Dollar. BTC/USD started a downside move and broke the $4,040 and$3,908 support levels to enter a bearish zone.

The 2-hours chart indicates that the price even broke the $3,780 support and the 100 simple moving average (2-hours). The decline was such that sellers managed to outpace buyers below the$4,000 support area.

Moreover, the price cleared a crucial bullish trend line with support $3,925 on the same chart. The price tested a major support area near$3,650, which acted as a strong buy zone for buyers.

A short-term recovery is underway and the price moved above the $3,800 level and the 23.6% Fib retracement level of the recent decline from the$4,195 high to $3,652 low. However, the previous support near the$3,820 level and the 100 SMA is acting as a solid resistance.

If there is a break above the $3,820 resistance, the next barrier could be the 50% Fib retracement level of the recent decline from the$4,195 high to $3,652 low at$3,924.

Only a 2-hour close above $3,924 and$4,040 may push the price back in a positive zone. On the other hand, initial support is near the $3,650 level, below which the main support is at$3,550. Should Ether decline below the $3,550 level, the price may enter a medium-term downtrend. Overall, bitcoin price seems to be struggling to recover above$3,820 and the 100 SMA. If BTC continues to struggle, there could be a break below the $3,650 and$3,550 supports.

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