Bitcoin is trading in a bearish zone below $19,500 against the US Dollar. If there is a break above the $19,500 resistance, BTC could start a bullish recovery wave.
- Bitcoin failed to gain momentum above the $19,500 and $19,600 resistance levels.
- The price is now trading below the $20,000 level and the 100 hourly simple moving average.
- There is a key bearish trend line forming with resistance near $19,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start a fresh decline unless it breaks above the $19,500 resistance area.
Bitcoin price eyes an upside break
Bitcoin price started another decline below the $19,500 support area. The price even traded below the $19,000 support area and it declined below the $18,800 level.
A low was formed near $18,738 and the price is now consolidating losses. There was a slight upward move above the $19,000 resistance area. The price climbed above the 23.6% Fib retracement level of the recent decline from the $20,500 high to $18,738 low.
However, the price is now facing a strong resistance near the $19,400 area and the 100 hourly simple moving average. There is also a key bearish trend line forming with resistance near $19,500 on the hourly chart of the BTC/USD pair.
The trend line is near the 50% Fibonacci retracement level of the recent decline from the $20,500 high to $18,738 low.
Source: BTCUSD on TradingView.com
The next major resistance is near the $19,800 area. A clear move above the trend line resistance and then $19,800 could push the price higher. In the said case, the price is likely to move higher towards the $20,500 level. The next major resistance is near the $21,200 level.
Recent fall in BTC?
If bitcoin fails to clear the $19,500 resistance area, it could start another decline. On the downside, immediate support is near the $19,000 level.
The next major support is now near the $18,700 level, below which the price could decline heavily. In the specified case, the price might decline towards the $17,500 level.
Hourly MACD – The MACD is now losing momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Key Support Level – $19,000, followed by $18,700.
Major resistance levels – $19,500, $19,800 and $20,500.