Bitcoin has been consolidating in the $20,000 area against the US Dollar. BTC needs to clear the $20,550 resistance area in order for a steady rise.
- Bitcoin continues to struggle to keep pace with the $20,550 resistance.
- The current price of the stock is trading at the $20,000 mark and near the simple moving average 100 hours per hour.
- A key bearish trendline is emerging with resistance at $20,330 (data feed Kraken).
- For a new increase to begin, both the couple must cross the $20,350 threshold and $20,000.
Bitcoin Price Faces A Challenge
The $19,550 area was well supported by Bitcoin. BTC established a foundation and began a new upward movement above the $20,000 resistance area.
A push was seen above the $20,200 and 100-hourly simple moving average levels. Even the Fib retracement level at 61.8% of the downmove from the $20.576 swing high, to the $19,555 low, was cleared by the price. But, it remained under the $20,550 resistance level.
Bitcoin is trading close to the $20,000 mark and the 100 hourly simple average. The upside is that there’s a resistance at the $20,350 mark.
The hourly BTC/USD pair chart shows a significant bearish trendline with resistance close to $20,330. This trend line lies close to the 76.4% Fib level of the downmove from the $19,555 high to the low.
Source: BTCUSD at TradingView.com
Near the $20,550 or $20,575 levels is the next major resistance. The price could reach $21,000 if it moves above the $20.575 resistance. If the gains continue, it could lead to a steady climb towards $22,000.
BTC – A New Decline
Bitcoin could begin a new decline if it fails to break the $20,550 resistance level. The $20,000 support zone is a strong area of immediate support for the downside.
Next is $19,800. Near the $19,550 support is the main support. If the support falls below $19550, it could lead to a rapid move up to $19,000. In the short term, any further losses could lead to a rise to $18,500.
Technical indicators
Hourly MACD – The MACD is now losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Major Support Levels – $19,880, followed by $19,500.
Major Resistance Levels – $20,350, $20,550 and $21,000.
