Bitcoin Price Recovery Stalls, Why This Barrier Could Trigger Another Drop

Bitcoin began an upward correction of $19,000 above the US Dollar. BTC has been struggling to overcome the resistance levels of $19,400 & $19,500.

  • Bitcoin was trading as low as $18,550, and began an upward correction.
  • The current price of the stock is trading at $19,500 and below the simple 100-hour moving average.
  • A major bearish trend line is emerging with resistance at $19,310 (data feed Kraken).
  • There is no clear movement above $19,000.500.

Bitcoin Price Faces Resistance

BTC price fell below the $19500 level, causing a dramatic drop. BTC moved below $19,000 and the 100-hourly simple moving average.

Even below $19,000, the price reached $18,500. Near $18,550 was the low point and it has been trending upwards since then. A move was seen above the $19,000 resistance level. Bulls drove the price higher than the 23.6% Fib level of the pivotal drop from $20,172 swing highs to $18,550 lows.

The $19,500 resistance area was where the bears were active. A major bearish trendline is also visible on the hourly charts of BTC/USD pairs. It points to resistance around $19,310.

Bitcoin was rejected near the 50% Fib Retracement level for the key fall from $20,172 swing highs to $18,550 lows. Bitcoin is currently trading at $19 500 and below its 100-hourly simple moving mean. The upside is that the immediate resistance lies near $19,300.

Bitcoin Price

Source: BTCUSD from TradingView.com

Next is $19 500, which will be the major resistance. The $19,000.500 level is the next major resistance. A move clear of it might trigger an increase towards $20,000. The price could move towards the $20,000.500 resistance zone with any further gains.

BTC’s Latest Decline

It could move lower if bitcoin does not start a wave of recovery above $19,500. The $19,000 area is a strong support for the downside.

Near the $18,550 support is the next important support. Another downside risk is if the price falls below the $18,550 level. The price may drop to $18,000 in the above scenario.

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 above the 50 level.

Major Support Levels – $19,000, followed by $18,550.

Major Resistance Levels – $19,300, $19,500 and $20,000.

Get more Crypto News at CFX Magazine