Bitcoin is struggling to break above the $24,000 resistance zone once morest the dollar. BTC is falling and might continue to drop towards the $22,000 support.
Bitcoin is showing bearish signs below the $23,500 level.
The price is trading below the $23,200 level and the 100 hourly simple moving average.
There is a major downtrend line forming with resistance near $23,250 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair might continue to go lower and might even test the $22,000 support in the short term.
The price of Bitcoin signals a decline
Bitcoin price has started a steady decline from well above the $24,000 resistance zone. The price dipped below $23,500 and $23,250 to enter a short-term bearish zone.
The decline gained ground below the 100 hourly SMA, and even tested the 50% retracement level of the key upside from the $20,695 low to $24,671 high. The price is struggling below the $23,200 level and the 100 hourly simple moving average.
Additionally, there is a bearish trend line forming with resistance near $23,250 on the hourly chart of the BTC/USD pair. However, it appears that the bulls are protecting the $22,680 support zone.
To the upside, bitcoin price is facing resistance near the $23,250 level and the trend line. The next key resistance is near the $23,520 area and the 100 hourly SMA.
The main resistance might be near the $24,180 area. A close above the $24,180 resistance zone might set the pace for a decent rally. In the indicated case, the price might rise towards the $24,650 level. The next major resistance is near the $25,000 level.
More losses in BTC?
If bitcoin fails to break above the $23,250 resistance zone and the trend line, it might continue to fall. Immediate support on the downside is near the $22,680 level.
The next major support is now near the $22,210 level. It is close to the 61.8% retracement level of the key rally from the $20,695 low to $24,671 high. Any further losses might send the price back towards the $22,000 level.
Alm Maye has been a trader and analyst since 2013. He is an expert in equity markets, Forex and cryptocurrencies. He is the creator of Almvest.com and Imveste.com, two websites dedicated to personal finance. He is involved in writing feature articles on numerous specialized international websites.
