Blog

Bitcoin is dealing with a key resistance close to the $23,500 zone towards the US Dollar. BTC should clear $23,500 to keep away from a contemporary bearish response within the close to time period.

• Bitcoin is struggling to rise and buying and selling under the $23,500 degree.
• The worth is now buying and selling under the $23,200 degree and the 100 hourly easy transferring common.
• There is a key rising channel forming with assist close to $22,800 on the hourly chart of the BTC/USD pair (knowledge feed from Kraken).
• The pair should clear the $23,500 resistance to begin an honest enhance within the close to time period.

Bitcoin Price Upsides Capped

Bitcoin worth gained tempo after it broke the $23,500 support zone. The worth even traded under the $23,000 degree to maneuver right into a short-term bearish zone.

However, the bulls protected the $22,650 zone. The 50% Fib retracement degree of the upward transfer from the $20,692 swing low to $24,671 excessive acted as a assist. The worth shaped a base and just lately recovered losses above the $23,000 degree.

Bitcoin climbed above the 23.6% Fib retracement degree of the downward transfer from the $24,699 swing excessive to $22,649 low. The worth even spiked above the $23,400 degree, however it confronted a robust resistance close to $23,500.

It is now buying and selling under the $23,200 degree and the 100 hourly simple moving average. There can also be a key rising channel forming with assist close to $22,800 on the hourly chart of the BTC/USD pair. On the upside, bitcoin worth is dealing with resistance close to the $23,200 degree and the 100 hourly SMA.

Source: BTCUSD on TradingView.com

The subsequent key resistance is close to the $23,500 zone. A detailed above the $23,500 resistance zone might set the tempo for an honest enhance. In the said case, the value could maybe rise in the direction of the $24,215 degree. The subsequent main resistance sits close to the $24,700 degree.

More Losses in BTC?

If bitcoin fails to clear the $23,500 resistance zone and the channel resistance, it might proceed to maneuver down. An instant assist on the draw back is close to the $22,800 degree.

The subsequent main assist now sits close to the $22,640 degree. A detailed under the $22,640 degree may spark a pointy decline to $21,750. Any extra losses may ship the value in the direction of $21,000 degree.

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 close to the 50 degree.

Major Support Levels – $22,800, adopted by $22,500.

Major Resistance Levels – $23,200, $23,500 and $24,180.