Bitcoin price faces a major hurdle near the $21,500 zone. BTC could correct lower if there is a clear move below the $20,500 support zone.
- Bitcoin seems to be facing major challenges near the $21,450 and $21,500 levels.
- The price is trading above $20,600 and the hourly moving average is 100.
- There is a break below the main bullish trend line with support near $21,100 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could start a downward correction below the $20,800 and $20,500 support levels.
Bitcoin Price Always Struggling
Bitcoin price is trying to break above the $21,500 resistance zone. However, BTC failed to gain momentum above the $21,500 zone. A high was formed near $21,679 and the price is now slowly moving lower.
There is a break below the $21,250 level. The price declined below the 23.6% Fib retracement level of the recent increase from the $20,620 swing to the $21,679 high. There is a break below the main bullish trend line with support near $21,100 on the hourly chart of the BTC/USD pair.
Bitcoin price is currently trading above $20,600 and the hourly simple moving average is 100. If there is another attempt to break up, immediate resistance is near the level of $21,450. The next major resistance is near the $21,500 zone, above which the price can gain bullish momentum.
Source: BTCUSD on TradingView.com
In that case, the price may rise to the $21,800 level. Another gain could send the btc price to the $22,000 level.
Downside Correction in BTC?
If the price of bitcoin fails to clear the $21,500 resistance, it may continue to fall. The immediate support on the downside is near the $21,100 zone.
The next major support is near the $20,900 zone and the 100 hourly SMA. It is near the 61.8% Fib retracement level of the recent rise from the $20,620 swing low to the $21,679 high. The main support is currently near the $20,500 level, below which the price may accelerate down to $20,000. Any other losses could send the price to $19,500.
Technical indicators:
Hourly MACD – MACD is currently losing in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently near the 50 level.
Key Support Level – $20,900, followed by $20,500.
Key Resistance Levels – $21,450, $21,500 and $22,000.