Bitcoin Choppy Session Continues – Eyes on $20,765
Skerdian Meta • 2 min read
Bitcoin is battling to break through the $21,500 barrier versus the US dollar. BTC is stabilizing and is vulnerable to a move toward the $20,000 support level. BITCOIN is consolidating at $21,000 and facing numerous challenges.
The price currently trades above the $21,200 mark and the 100 hourly simple moving average.
On the hourly chart of the BTC/USD pair, a strong negative trend line is forming with resistance near $22,500. The pair may recover, although gains may be limited above the $22,000 resistance zone.
Bitcoin’s Price is Under Pressure
Bitcoin’s price has held well above the $21,000 support level. BTC established a base above $21,000 and began a consolidation period.
A slight upward movement occurred above the $21,250 and $21,350 levels. The price broke through the $21,500 barrier and the 100 hourly simple moving average. On the other hand, the bears were active near the $21,640 resistance level. The 23.6% Fib retracement level of the main slide from the $24,415 swing high to the $20,797 low appears to be strong resistance. Bitcoin trades over the $21,200 mark and above the 100 hourly simple moving average.
On the upside, the $21,500 and $21,640 levels provide immediate resistance. The first big obstacle on the upside is located near $22,000. If the price breaks over the $22,000 resistance zone, it may rise towards the $22,500 resistance zone. On the hourly chart of the BTC/USD pair, a strong negative trend line is forming with resistance near $22,500.
The trend line is close to the 50% Fib retracement level of the main slide from the swing high of $24,415 to the low of $20,797. Any further advances might push the price to the $23,000 resistance level.
Bitcoin Price Drop?
If Bitcoin fails to break over the $22,000 barrier level, it may continue to fall. On the downside, there is immediate support near the $21,000 level.
The next significant support is now at $20,800. A decisive break below the $20,800 support level and the previous swing low could trigger a new downturn. The price may fall near the $20,000 mark in the mentioned instance.