Bitcoin has been consolidating in the $20,000 area against the US Dollar. BTC might start a good recovery wave once it clears $20,550 resistance.
- Bitcoin shows some signs of life above and beyond the resistance at $20,000
- The price has traded at or above $20,000 and the 100-hourly simple moving average.
- On the hourly chart for the BTC/USD pair, there is an apparent connecting bearish trend line with resistance close to $20,000. (Data feed from Kraken).
- For steady growth to begin, both the couple must reach $20,340 or $20,550.
Bitcoin price struggles
Bitcoin prices began a slight uptrend above the $20,000 resistance area. BTC has even cleared the $20,000. resistance zone as well as the simple 100-hour moving average.
The price spiked over the $20,500 mark but bulls failed to push it higher. Before there was any bearish reaction, a high of near $20.576 was reached. It fell sharply below $20,000 and the 100-hourly simple moving average.
It remained above $19,500 but not below the support zone. The price has been rising since the low was near $19555 A move was seen above the 50% Fib Retracement level, which is the most recent fall from the $21,576 swing high at $19,555 to the low of $20,576.
Bitcoin trades above the $20,000 mark and the 100-hourly simple moving average. Surprisingly, a resistance level is located near $20,340.
On the hourly BTC/USD chart, there is a connected bearish trend line that forms with resistance at $20,340. Trend line at 76.4% Fib Retracement Level of recent fall from $20,576 swing high, to $19,555 low.
Source: BTCUSD from TradingView.com
Next is $20,550. If the price moves clear above the $20,550 resistance, it could push the price to $21,000. Price gains above the $20,550 resistance could push the price to the $22,000 zone.
BTC – A New Decline
Bitcoin could begin a new decline if it fails to break the $20,550 resistance level. Support for the downside lies near the $20,000 area.
Near the $19 780 mark is the next significant support. Breaking below the $19 780 level could push the price up to $19 5,550. If the price falls further, it could lead to a lower low under $19,000.
Technical indicators
Hourly MACD – The MACD is now gaining pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.
Major Support Levels – $19,780, followed by $19,500.
Major Resistance Levels – $20,340, $20,550 and $21,000.
