Bitcoin Price Analysis: This One Reason may Suppress BTC from Sustaining above $20000, Know More!

Bitcoin Price just surged above $20000 showcasing its potential to the cryptocurrency investors, during the hard times of the bear market.
BTC is trying to recover from its own ashes, however, there is still a single reason which may lead the greatest cryptocurrency dominator to fall again.
The Candlestick chart signals some interesting signs to be noted for the upcoming price movement of the traditional cryptocurrency.

Bitcoin price is trying to recover from its own ashes resembling a phoenix bird from Greek mythology. The cryptocurrency bloodbath led tensions to the cryptocurrency investors around the Globe. Bitcoin, the greatest dominator, keeps on dominating and manipulating the prices of other altcoins all around the cryptocurrency market. BTC’s price plummeted around 44% as it got rejected from the $30000 level, leaving behind the long-term consolidation phase. Then after slipping significantly BTC managed to gain support from the $17600 level and it started surging back from the 2020 lows.

BTC at present stands at the lowest level of 2022 and falters to gain steady uptrend momentum also the point to be noticed about BTC is that the traditional cryptocurrency may get rejected again as it currently falters to sustain above $20000 psychological level. Bitcoin is trading dangerously close to breakdown again of the $20000 lowest level.

Bitcoin Price is presently CMP at $21033 and has gained 2.33% of its market capitalization in the last 24-hour period. In contrast, trading volume decreased by 10.17% in the intraday trading session. This shows that BTC is experiencing some short-selling pressure and hence struggles between $20000 and $21000 levels. The volume to market cap ratio of BTC is at 0.0773.

Bitcoin Price notably falters to gain significant uptrend momentum over the daily price chart. BTC’s price got rejected from the consolidation phase on 12th June and fell notably around 44% then the token got support after going through a rigorous selling of a week. BTC managed to get support from $17600 level which was used to be the highest level of Bitcoin from 2017 to 2020. Then BTC kept on surging till 2022 during the time of the bull run.

However, now at the time of the bear market BTC plummeted dangerously and returned back to its lowest levels. Volume change can be observed below average and needs to grow for BTC to avoid the upcoming trend reversal.

Know the reason for which you came here to give this article a read:

So, as I have mentioned above in this article only about the price action of Bitcoin and some certain but still not so certain levels which now haunts mostly each and every cryptocurrency investor. While observing the chart closely you will see the last day’s candle which is a Doji Candle, being more precise that candle is known as a long-legged Doji candle. The candlestick denotes indecision, which directly tells the inability of the cryptocurrency price to either sustain or to get detained from the current level. Now, this candle may be one of the reasons to let BTC slump again below the $20000 level as a reversal. However, high volatility factors may interrupt the price action as always.

Total Liquidations

According to coinglass, a total of $56.47 Million worth of BTC have been liquidated in the last 24-hour period. From which, $23.40 Million worth of BTCs have been liquidated in just the last 12 hours, and in the last 4 hours, $6.34 Million worth of BTCs have been liquidated. In contrast, $1.84 Million was liquidated in the last 1-hour. This data shows a number of people went out of the trade from the cryptocurrency market with nothing in hand.

The above visualization shows the liquidations on the most prominent and infamous cryptocurrency exchange that is Binance. A total amount of $35.46 Million worth of BTCs has been liquidated while being on short only whereas a total amount of $34.18 Million worth of BTCs has been liquidated while being on long.

Bitcoin Price: Technical Analysis

Bitcoin price is trying to rise from its own ashes resembling a phoenix bird. BTC investors are getting prepared for the worst-case scenario is they have witnessed the condition of extreme fear. Technical indicators suggest the rise of BTC from its own ashes. Ichimoku Cloud is making clouds ahead of the price action and is still red, this signifies the bearish momentum of BTC over the daily price chart.

The relative Strength Index showcases the uptrend momentum of BTC over the chart. RSI is at 31 and is returning from oversold territory. It’s a matter of time to see if BTC sustains above the oversold zone or breaks down with a reversal. MACD exhibits the bullish momentum of BTC. The MACD line is still below the signal line and is heading towards the signal line to register a positive crossover, however, bears are trying to oppose the momentum and BTC investors can expect a directional change at any moment now.

Conclusion

Bitcoin price is trying to recover from its own ashes resembling a phoenix bird from Greek mythology. The cryptocurrency bloodbath led tensions to the cryptocurrency investors around the Globe. While observing the chart closely you will see the last day’s candle which is a Doji Candle, being more precise that candle is known as a long-legged Doji candle. The candlestick denotes indecision, which directly tells the inability of the cryptocurrency price to either sustain or to get detained from the current level. Technical indicators suggest the rise of BTC from its own ashes. The MACD line is still below the signal line and is heading towards the signal line to register a positive crossover, however, bears are trying to oppose the momentum and BTC investors can expect a directional change at any moment now.

Technical Levels

Support Levels: $17600

Resistance Levels: $23000

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish the financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

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Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing