Image default
Bitcoin

Bitcoin Price Reaches Key Juncture, Can This Support Spark Fresh Increase?


More Pain for BTC? | Photo by Traxer on Unsplash

New Delhi(CoinChapter.com): Bitcoin price is declining below $22,500. BTC/USD might increase significantly if it stays above the $21,400 support and climbs above $22,700.

Bitcoin Price Extends Decline

After struggling to stay above the $24,000 level, bitcoin prices started declining. Next, the BTC/USD pair traded below the $23,000 support zone to start a steady decline.

There was a clear move below the $22,700 support zone, sparking a short-term downtrend. Recently, there was a push below the $22,000 support and the 50 simple moving average (4 hours, blue), similar to ethereum, Cardano, and dot.

More Pain for BTC/USD?
Bitcoin price 4-hour chart | Source: BTCUSD on TradingView.com

The price even tested the $21,400 support zone. A low is formed near $21,444, and the price is now showing bearish signs below $21,700.

On the upside, immediate resistance is near the $22,120 level. It is close to the 23.6% Fib retracement of the recent decline from the $24,240 swing high to the $21,444 low. The first major resistance is near the $22,400 level or the 50 simple moving average (4 hours, blue).

Bitcoin price is also facing a major bearish trend line with resistance near $22,420 on the 4-hours chart. The next major resistance is near the $22,850 zone.

It coincides with the 50% Fib retracement of the recent decline from the $24,240 swing high to the $21,444 low. A close above the $22,850 level might start a strong increase toward the $23,580 level. Any more gains might send the price toward the $24,200 resistance zone in the coming days.

More Pain for BTC?

On the downside, the first major support is near the $21,400 level. The next key support sits near the $21,250 level. A clear move below the $21,250 support could spark a bearish move.

The next major support is near the $20,400 zone, where the bulls could take a strong stand. However, if they fail, there is a risk of a move toward the $18,800 support zone. 

The bitcoin price shows a few bearish signs and is trading below $22,000. If BTC fails to stay above the $21,400 support zone, there is a risk of a downside extension toward $20,400 or even $20,000. Conversely, the price might remain well bid and start a fresh increase towards $22,850.

The post Bitcoin Price Reaches Key Juncture, Can This Support Spark Fresh Increase? appeared first on CoinChapter.



Source link

Related posts

What To Expect If Historical Bitcoin Halving Cycles Repeat

Melodie Denning

Implications For Bitcoin When The US Debt Ceiling Is Raised

Melodie Denning

Nigerian Crypto Leverage Searches Second-Highest Globally — Africa Dominates Searches for Leveraged Trading Products – Africa Bitcoin News

Melodie Denning

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Privacy & Cookies Policy