Bitcoin Price Could Avoid Another Drop if it Closes Above One Key Level

Bitcoin’s rate of growth is slowing to $21,500 above the US Dollar. BTC must cross the $22,500 resistance level to prevent a further decline.

  • Bitcoin has struggled to keep pace with $21,500-level and $21,600 level.
  • The price has traded at or above the $21,500 mark and the simple moving average of 100 hours.
  • On the hourly chart for the BTC/USD pair, there is a bearish trend line that forms with resistance at $22,000 (data feed Kraken).
  • If the resistance level is close to $22,000, then the pair may see a significant increase.

Bitcoin Price Faces Several Hurdles

Bitcoin’s price began to move up slightly from its $21,000 support area. BTC managed to gradually move above $21,250 and $21,500.

Price even crossed the $21,650 threshold and broke the 100 hourly simple moving mean. The price moved above the 23.6% Fib level of the decline from the $24,416 swing low to the $20,797 high. But, bulls failed to build strength enough for an attempt at the $22,000 resistance.

Bitcoin is trading well above the $21,500 mark and the simple moving average of 100 hours. The upside is that there’s immediate resistance near the $21,750 or $21,800 levels.

Near the $22,000 mark is the first significant resistance to the upside. The hourly BTC/USD chart shows a significant bearish trendline with resistance close to $22,000. If the trend resistance is broken, the price might move to the $22,500 area.

Bitcoin Price

Source: BTCUSD at TradingView.com

It could be as close to the $22,650 level that is next. This price is very close to the Fib retracement of 50% the downward movement from the $24,416 swing low to $20,797 high. The price could move towards the $24,000 barrier if it gains more.

BTC – A New Decline

Bitcoin could begin a new decline if it fails to break the $22,000 resistance level. The immediate support for the downside lies near the $21,500 mark and the 100-hourly simple moving average.

Next major support is at the $21,000 level. If the price falls below $21,000, it could trigger another downturn in the immediate future. If the previous scenario is true, then the price may fall to $20,000

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 above the 50 level.

Major Support Levels – $21,500, followed by $21,000.

Major Resistance Levels – $21,750, $22,000 and $22,650.

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