Bitcoin extended the decline below the $ 25,000 support against the US Dollar. BTC is down 20% and approaching the key $ 20,000 support zone.
- Bitcoin extended the decline below the $ 23,500 and $ 22,500 support levels.
- The price is currently trading below the $ 25,000 level and is a 100-hour moving average.
- There is a bearish trend line connecting with resistance near $ 22,100 on the hourly chart of the BTC / USD pair (data feed from Kraken).
- The pair should stay above the $ 20,000 support zone to avoid further losses.
Nosedive rega Bitcoin
Bitcoin price failed to start a wave of recovery and complete decline following $ 25,000 support zone. The Bears gained the strength to move below the $ 23,500 support zone.
The price declined more than 20% and even sold below the $ 22,000 support zone. A recent multi-week low formed near $ 20,824 and the price is still trading in a strong downtrend. There are close below the $ 22,000 level and 100 moving average per hour.
Bitcoin is currently consolidating near the $ 21,000 level. Direct resistance is on the rise near the $ 21,800 level. The first major resistance is near the $ 22,000 level.
There is also a bearish trend line connecting with resistance near $ 22,100 on the hourly chart of the BTC / USD pair. It’s close to the 23.6% Fib retracement level from a recent drop from a $ 28,300 swing high to a $ 20,824 low.
Source: BTCUSD on TradingView.com
If there is a clear movement above the trend line, the pair could rise to the $ 23,000 level. The main resistance is near the $ 25,000 level. It’s close to the 50% Fib retracement level of the recent drop from $ 28,300 swing high to $ 20,824 low.
More Loss in BTC?
If bitcoin fails to clear the $ 22,100 resistance zone and trend line, it could continue downward. Direct support at the bottom is near the $ 21,000 level.
The next major support is near the $ 20,000 level. A downside break below the $ 20,000 support could send the price lower. In that case, the price could drop to the $ 18,500 support zone in the near future.
Technical indicators:
Hourly MACD – The MACD is currently gaining momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC / USD is currently in oversold area.
Key Support Level – $ 21,000, followed by $ 20,000.
Main Resistance Levels – $ 22,000, $ 22,100 and $ 23,000.
