Bitcoin is consolidating above the $20,000 zone against the US Dollar. BTC must clear the $20,800 resistance to restart increase in the near term.
- Bitcoin corrected gains and tested the $19,800 support zone.
- The price is now above the $20,000 level and the 100 hourly simple moving average.
- There is a key bearish trend line forming with resistance near $20,550 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could gain bullish momentum if it clears the $20,550 and $20,800 resistance levels.
Bitcoin Price Faces Resistance
Bitcoin price failed to gain pace above $21,700 and corrected gains. There was a downside correction below the $21,000 support zone.
The price declined below the 23.6% Fib retracement level of the upward move from the $17,600 swing low to $21,700 swing high. The bears even pushed the price below the $20,500 support zone and the 100 hourly simple moving average. However, the bulls were active above the $19,650 and $19,800 support levels. Bitcoin also stayed above the 50% Fib retracement level of the upward move from the $17,600 swing low to $21,700 swing high.It is now above the $20,000 level and the 100 hourly simple moving average. An immediate resistance on the upside is near the $20,550 level. There is also a key bearish trend line forming with resistance near $20,550 on the hourly chart of the BTC/USD pair.
Source:The first major resistance is near the $20,800 level. A clear move above the $20,800 level might start a decent increase. The next major resistance sits near the $21,220 level, above which the bulls might gain strength for a steady increase.