Bitcoin Price Trades Heavy, Why BTC Could Soon Test $20K

Bitcoin is struggling to recuperate above $21,500 towards the US Greenback. BTC is consolidating and stays at a threat of a transfer in direction of the $20,000 assist.

• Bitcoin is consolidating above $21,000 and dealing with a number of hurdles.
• The value is now buying and selling above the $21,200 stage and the 100 hourly easy shifting common.
• There’s a key bearish pattern line forming with resistance close to $22,500 on the hourly chart of the BTC/USD pair (information feed from Kraken).
• The pair may recuperate larger, however upsides could be restricted above the $22,000 resistance zone.

Bitcoin Worth Faces Hurdles

Bitcoin worth remained nicely bid above the $21,000 assist zone. BTC fashioned a base above $21,000 and began a consolidation part.

There was a minor upward transfer above the $21,250 and $21,350 ranges. The value was in a position to surpass the $21,500 stage and the 100 hourly easy shifting common. Nonetheless, the bears have been energetic close to the $21,640 resistance zone.

It looks like the 23.6% Fib retracement stage of the principle drop from the $24,415 swing excessive to $20,797 low is performing as a powerful resistance. Bitcoin worth is now buying and selling above the $21,200 stage and the 100 hourly easy shifting common.

On the upside, a direct resistance is close to the $21,500 and $21,640 ranges. The primary main resistance on the upside sits close to the $22,000 stage.

If there’s an upside break above the $22,000 resistance zone, the value could maybe rise in direction of the $22,500 resistance zone. There may be additionally a key bearish pattern line forming with resistance close to $22,500 on the hourly chart of the BTC/USD pair.

Supply: BTCUSD on TradingView.com

The pattern line is close to the 50% Fib retracement stage of the principle drop from the $24,415 swing excessive to $20,797 low. Any extra positive factors would possibly ship the value in direction of the $23,000 resistance zone.

Recent Decline in BTC?

If bitcoin fails to clear the $22,000 resistance zone, it may proceed to maneuver down. A right away assist on the draw back is close to the $21,000 stage.

The subsequent main assist now sits close to the $20,800 stage. A transparent transfer under the $20,800 assist and the final swing low would possibly spark a recent decline. Within the acknowledged case, the value would possibly decline in direction of the $20,000 stage.

Technical indicators:

Hourly MACD – The MACD is now shedding tempo within the bearish zone.

Hourly RSI (Relative Energy Index) – The RSI for BTC/USD is now close to the 50 stage.

Main Help Ranges – $21,000, adopted by $20,800.

Main Resistance Ranges – $21,640, $22,000 and $22,500.