Bitcoin Price Could Possibly Rally Provided These Levels Are Crossed

The bears are now unable to stop the Bitcoin price from falling after the coin traded at $20,000 for quite some time. The coin has fallen by 2.1% in 24 hours and lost close to 5 percent over the week.

The current price of the coin is $19,000

This asset’s price has always been affected by the U.S Federal Reserve raising interest rates. Bitcoin also continued to experience selling pressure.

Technical outlook continues to show a decline in purchasing strength.

The asset’s price is currently consolidating on its chart. Bitcoin could drop back to the $18,000 area if the price of the asset continues to exhibit minimum price action.

The coin is trading within a narrow zone and, without buyers’ help, it seems unlikely that the price will rise above this resistance area.

This scenario could lead to the asset moving south within a few text trading sessions.

A Day of Bitcoin Price Analysis

Bitcoin Price
The price of Bitcoin reached $19,100 in the 1-day chart. Source: BTCUSD tradingview| Source: BTCUSD on TradingView

BTC traded at $19,100 as of the writing. The selling pressure increased after BTC traded at the $20,000 level for some time.

While the overhead resistance of Bitcoin was at $20,000., Bitcoin could reach a maximum stop at $19,000. If the price moves above $20,200

The coin could fall below $18,000 if it continues to slide due to selling pressure and trade at close to $15,000.

Bitcoin can rally up to $30,000. A rise above $24,000 could also be beneficial. In the most recent session, Bitcoin volume traded decreased significantly. This indicates an increase of selling strength.

Technical Analysis

Bitcoin Price
Source: BTCUSD on TradingView| Source: BTCUSD on TradingView

BTC saw a dramatic drop in its daily chart demand. The result was that the demand for BTC at prices above $19,000 was very high.

An increase in the price above $19,000 could bring back demand for the coin, which could boost the buying force.

Relative Strength Index fell below half-line, but was close to the zone of oversold. There was a tiny uptick however, that didn’t mean buyers were back.

Bitcoin’s price fell below 20-SMA, which indicates that buyers were driving market momentum.

Bitcoin Price
Source: BTCUSD tradingView| Source: BTCUSD on TradingView

The coin’s other technical indicators have also pointed towards bearishness on the chart.

A bearish crossover took place in Moving Average Convergence Divergence. The coin displayed red bars beneath the half-line. This was a sell signal.

Bollinger Bands are a measure of volatility in prices and the likelihood that they will fluctuate. If the bands are tightening, it is either a sign that there will be explosive price fluctuations or incoming volatility.

If Bitcoin prices rise above the 20 SMA, then it might temporarily move up on the chart.

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