Bitcoin fell below $20,000 against the US Dollar, triggering a new decline. BTC was trading below $19,000, and there is still a chance of it moving to $18,000.
- Bitcoin began a decline again and was trading below the $19 500 support.
- The price currently trades at $19,200.
- A break was seen below the connecting bullish trendline with support at $19 850 (data feed Kraken).
- In the short term, the pair could move to the $18,000 support area.
Bitcoin price begins a new decline
Bitcoin prices failed to cross the $20,500 resistance. BTC experienced a sharp decline after trading below $19,500 and $20,000 resistance levels.
On the hourly chart for the BTC/USD pair, the price also broke below a bullish trend line connecting the two. Support at $19,850 was provided by the support line. Below the $19,000.00 level, the 100 hourly moving average and below the $19,000.00 mark, the pair fell. The pair traded at $18,706 and even fell below $19,000
Now, the Bitcoin price is consolidating below $19,000. The $19,050 mark is the immediate resistance. This is close to the 23.6% Fib Retracement level for the decline from $20,197 high to $18,706 low.
It is located near $19,350. The Fib level at 50% retracement levels of recent falls from the $20.197 swing high to the $18,706 low coincides.
Source: BTCUSD at TradingView.com
Now, the main obstacle is forming around the $20,000 area and the 100-hourly simple moving average. The $20,000 barrier could open the door to a new increase. If the previous scenario is true, then the price might rise to $21,200.
It could fall further if bitcoin does not start a wave of recovery above $19,000.50 resistance. Support for the downside lies near the $18,700 level.
Next major support will be near $18,550. An obvious move below the $18,700 level and the $18,550 levels could allow for an upward move to the $18,000 level.
Hourly MACD – The MACD is now gaining pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Major Support Levels – $18,700, followed by $18,550.
Major Resistance Levels – $19,050, $19,300 and $19,500.