Bitcoin Price Analysis: BTC Recovery Could Face Hurdles

• Bitcoin price started a fresh decline below the $20,000 zone against the US Dollar.
• The price is now trading below $18,000 and the 55 simple moving average (4-hours).
• There was a break above a short-term bearish trend line with resistance near $16,920 on the 4-hours chart of the BTC/USD pair (data feed from Coinbase).
• The pair could recover, but upsides might be limited above the $17,500 resistance zone.

Bitcoin price is struggling below $18,000 against the US Dollar. BTC might extend losses if it stays below the $17,500 and $18,500 resistance levels.

Bitcoin Price Analysis

Bitcoin price started a fresh decline from the $21,500 zone. There was a steady decline below the $20,000 and $18,500 support levels.

The decline gained pace below the $18,000 level and the 55 simple moving average (4-hours). The bears even pushed the price below the $17,000 level. The price tested the $15,500 support zone and is now consolidating losses.

There was a minor increase above the $16,500 level. Besides, there was a break above a short-term bearish trend line with resistance near $16,920 on the 4-hours chart of the BTC/USD pair.

It is now trading near the 23.6% Fib retracement level of the downward move from the $21,478 swing high to $15,512 low. An immediate resistance on the upside is near the $17,500 level and the 55 simple moving average (4-hours).

The first major resistance is near the $18,000 level. A clear move above the $18,000 level might send the price towards $18,500. It is near the 50% Fib retracement level of the downward move from the $21,478 swing high to $15,512 low.

Any more gains might push the price towards the $19,500 zone. If there is no upside break, the price might continue to decline below $16,500. The next key support is near the $15,500 level, below which the price might accelerate lower.

In the stated case, the price could decline towards the $15,000 level. Any more losses might send the price towards the $14,500 level.

Bitcoin Price

Looking at the chart, bitcoin price is clearly trading below $18,500 and the 55 simple moving average (4-hours). Overall, the price could recover, but upsides might be limited above the $17,500 resistance zone.

Technical Indicators

4 hours MACD – The MACD is now losing momentum in the bearish zone.

4 hours RSI (Relative Strength Index) – The RSI is now near the 50 level.

Key Support Levels – $16,400 and $15,500.

Key Resistance Levels – $17,500, $18,000 and $18,500.

Tags: bitcoin, BTC