Bitcoin’s Choppy Session Continues – Buckle Up to Trade the Breakout - Forex News by FX Leaders
Bitcoin’s Choppy Session Continues - Buckle Up to Trade the Breakout

Bitcoin’s Choppy Session Continues – Buckle Up to Trade the Breakout

Posted Wednesday, July 6, 2022 by
Skerdian Meta • 2 min read

Bitcoin surpassed the $20,500 resistance level against the US dollar. BTC is currently struggling near $19,800, with a major support zone near $19,600, and made another unsuccessful shot at busting through the $20,500 barrier.

The price currently trades above the $19,500 level and the 100-period SMA. On the hourly timeframe of the BTC/USD pair, a key bullish trend line is forming with support near $19,550.

Unless a clear move drops the $19,500 support zone, the pair could rise again.

BTC/USD

Bitcoin’s Price is Under Pressure

Bitcoin’s price remained above the $19,500 mark. BTC began another rise and surpassed the $20,000 resistance level. The bulls failed to gain strength despite a spike above the $20,500 resistance zone. The price corrected gains after reaching a high near $20,732. Below the $20,200 and $20,000 support levels, there was a drop.

BITCOIN traded below the 50% Fib retracement level of the upward move from the swing low of $19,300 to the swing high of $20,732. It currently trades above the $19,500 mark and the 100-hourly SMA. On the hourly timeframe of the BTC/USD pair, a key bullish trend line is forming with support near $19,550.

On the upside, the price is encountering resistance near $20,000 and $20,200. The next significant resistance level is around $20,500. A close above the $20,500 resistance level could pave the way for a significant increase.

In the scenario above, the price could rise to $21,200. The next significant resistance is located near the $21,500 level.

More Bitcoin Losses?

If bitcoin fails to break through the $20,500 resistance level, it may continue to fall. On the downside, there is immediate support near $19,650. It is close to the 76.4 percent Fib retracement level of the upward move from the swing low of $19,300 to the swing high of $20,732.

The next significant support is now near $19,500, or the trend line zone. A close below the $19,500 support level may intensify selling pressure. In the scenario above, the price could fall to $18,740. Good luck!

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