Bitcoin is struggling to climb above the $24,000 resistance area against the US Dollar. BTC is declining and may continue to move down towards the $22,000 support.
- Bitcoin is showing bearish signs below the $23,500 level.
- The price is now trading below the $23,200 level and the 100 hourly simple moving average.
- There is a major bearish trend line forming with resistance near $23,250 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could continue to slide and may test the $22,000 support in the near term.
Bitcoin Price Signals Drop
Bitcoin price started a steady decline from well above the $24,000 resistance area. The price dropped below $23,500 and $23,250 to move into a short-term descending zone.
The decline increased at a pace less than Simple moving average per 100 hours. It even tested the 50% Fibonacci retracement level of the major increase from the swing low of $20,695 to $24,671. The price is now struggling below the $23,200 level and the 100 hourly simple moving average.
There is also a major bearish trend line forming with resistance near $23,250 on the hourly chart of the BTC/USD pair. However, the bulls seem to be protecting the $22,680 support area.
On the upside, bitcoin price is facing resistance near the $23,250 level and the trendline. The next major resistance is near the $23.520 area and the 100 hourly simple moving average.
Source: BTCUSD on TradingView.com
The main resistance could be near the $24,180 area. A close above the $24,180 resistance area could set an appropriate pace of increase. In the mentioned case, the price may rise towards the $24,650 level. The next major resistance is near the $25,000 level.
More losses in bitcoin?
If Bitcoin fails to clear the $23,250 resistance area and trend line, it may continue to move lower. There is immediate support on the downside near the $22,680 level.
The next major support is now near the $2,210 level. It is close to the 61.8% Fib retracement level of the major increase from the swing low of $20.695 to the $24671 high. Any further losses could send the price towards the $22,000 level.
Hourly MACD – The MACD is now gaining pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Key support levels – $22,680, followed by $22,210.
Key resistance levels – $23,250, $23,520 and $24,180.