Bitcoin fell below the $21,500 resistance level against the US dollar. BTC has been losing ground and may find support at the 100-hourly SMA.
- Bitcoin reached $21,500 above its initial level, before sellers were able to stop it.
- Now, the price has risen to $20,000 and is above the $100 hourly moving average.
- The hourly BTC/USD chart showed a breaking below the key bullish trendline with support at $21,175 (data feed Kraken).
- They could either find bidding close to the $20,000 mark or near the simple 100-hour moving average.
Bitcoin Prices Drop
Bitcoin prices began an upward correction higher than the $20,000 resistance level. A decent recovery wave occurred above the levels of $20,200, and $20,500.
Price climbed to the 61.8% Fib Retracement level for the key downside, from $22,950 high and $17,600 lower. The price finally moved above $21,000 resistance and settled above 100-hourly simple moving average.
But, bears were very active over $21,500. The price reached a high near $21,698, and began a downward correction.
The 23.6% Fib Retracement level for the upward movement from $17,600 swing lows to $21,698 highs was broken. A break was also observed below the 23.6% Fib retracement level of the upward move from the $17,600 swing low to $21,698 high on the hourly BTC/USD chart.
The price currently trades below $21,000 The $20,550 level is the immediate resistance. Near the $21,000- and $21,220 levels is the first significant resistance.
Source: BTCUSD from TradingView.com
An obvious move higher than the $21,220 level could lead to a rise to $21,700. In the next sessions, any further gains could push the price to the $22,200 mark.
BTC Losses:
It could fall further if bitcoin does not clear the $21,220 zone of resistance. Support for bitcoin’s downside right now is at the $20,000 and 100 hourly SMA levels.
It is close to the $19650 level. This support is close to the 50% Fib level of the upward movement from $17,600 swing high to $21,698 low. In the short term, a downside breakout below $19650 could trigger a downtrend.
Indicators technical
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 – $20,000, followed by $19,650.
Major Resistance Levels – $20,500, $21,220 and $21,700.
