Bitcoin saw an uptrend from $17600 against the US Dollar. BTC faces strong resistance close to $20,500 or $21,000
- Bitcoin managed to recover its losses in the $17.600 support area.
- The current price remains below $20,000 and the simple 100-hour moving average.
- On the hourly chart for the BTC/USD pair, there was a break above the bearish trend line. Resistance is near $19,000. (Data feed from Kraken).
- The risk of another decline remains unless the pair reaches $21,000 resistance.
Bitcoin price sees steady recovery
The bitcoin price declined below the $20,000 level and continued to trend bearish. Bitcoin price fell more than 10% and spiked to below $18,000.
The price began an upward correction after a low of $17,600 was reached. The $18,000 and $18,500 resistances were breached by a wave of recovery. A break was also observed above the key bearish trendline with resistance at $19,200, on the hourly charts of BTC/USD.
Bitcoin reached the 50% Fib level, which is the level at which the price of Bitcoin has retraced the major decline in value from $22,950 high and $17 600 low. Bitcoin even soared to $20,000 and above the simple 100-hour moving average.
The bears were still active at the $20.500 and $20.750 levels. Resistance was also provided by the 61.8% Fib Retracement level for the key fall from $22,950 to $17,600 high. Now, the price trades below the $20,000 mark and the 100-hourly simple moving average.
Source: BTCUSD from TradingView.com
Near the $20,200 area is the first major resistance. Near the $20,500 mark is the first significant resistance. If the gains continue, the price might reach the $21,000 threshold. An increase of more than $21,000 could be possible.
BTC – A New Decline
It could lead to a further decline if bitcoin does not clear the $20,000.500 resistance area. The $19,500 level is a support area for the downside.
Near the $18,800 support level is the next major support. If the support is breached below that level, a rapid decline could occur. The price may test $17,000.
Indicators technical
Hourly MACD – The MACD is now losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now just above the 50 level.
Major Support Levels – $19,500, followed by $18,800.
Major Resistance Levels – $20,200, $20,500 and $21,000.
