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Bitcoin trimmed positive factors and declined under $21,000 in opposition to the US Dollar. BTC should keep above $20,500 to keep away from a significant decline within the close to time period.

• Bitcoin failed to remain above the $21,000 help and prolonged drop.
• The worth is now buying and selling under the $21,500 stage and the 100 hourly easy shifting common.
• There is a significant bullish pattern line forming with help close to $20,520 on the hourly chart of the BTC/USD pair (information feed from Kraken).
• The pair may begin one other main decline if there’s a clear transfer under $20,500.

Bitcoin Price Reaches Support

Bitcoin worth tried a detailed above the $22,000 stage, however the bears remained active. As a end result, there was a gradual and regular decline under the $21,500 stage.

The worth declined under the 50% Fib retracement stage of the upward transfer from the $19,300 swing low to $22,498 excessive. The worth is now buying and selling under the $21,500 stage and the 100 hourly simple moving average.

It is testing the important thing $20,500 help zone. There can also be a significant bullish pattern line forming with help close to $20,520 on the hourly chart of the BTC/USD pair. The pattern line is close to the 61.8% Fib retracement stage of the upward transfer from the $19,300 swing low to $22,498 excessive.

If bitcoin worth stays above the pattern line, it may appropriate above $20,800. On the upside, the value is dealing with resistance close to the $20,800 and $20,850 ranges.

Source: BTCUSD on TradingView.com

The subsequent key resistance is close to the $21,250 zone and the 100 hourly easy shifting common. An in depth above the $21,250 resistance zone may set the tempo for a check of the $22,000 stage. Any extra positive factors may open the doorways for a rise in direction of the $22,500 stage. The subsequent main resistance sits close to the $23,200 stage.

Downside Break in BTC?

If bitcoin fails to remain above the pattern line help, it may proceed to maneuver down under $20,500. An quick help on the draw back is close to the $20,050 stage.

The subsequent main help now sits close to the $19,600 stage or the final swing low. An in depth under the $19,600 help zone may push the value to $19,000. In the acknowledged case, there’s a danger of a transfer in direction of the $18,500 stage.

Technical indicators:

Hourly MACD – The MACD is now gaining tempo within the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now within the oversold zone.

Major Support Levels – $20,500, adopted by $20,000.

Major Resistance Levels – $20,800, $21,250 and $22,000.