Bitcoin price is still trading in a range below the $17,000 resistance. BTC could witness a major breakout as we approach the New Year 2023.
- Bitcoin failed to clear the $17,000 and $17,200 resistance levels.
- The price is trading below $16,800 and the 100 hourly simple moving average.
- There was a break below a major bullish trend line with support near $16,840 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could decline further if there is a clear move below the $16,550 support zone.
Bitcoin Price Revisits Support
Bitcoin price made another attempt to clear the $17,000 resistance zone. However, BTC struggled to gain pace for a clear move above the $17,000 level.
A high was formed near $16,962 before the price started a fresh decline. There was a clear move below the $16,800 support zone and the 100 hourly simple moving average. Besides, there was a break below a major bullish trend line with support near $16,840 on the hourly chart of the BTC/USD pair.
Bitcoin price tested the key $16,550 support zone. A low is formed near $16,561 and the price is now consolidating losses. It tested the 23.6% Fib retracement level of the downward move from the $16,962 swing high to $16,561 low.
On the upside, an immediate resistance is near the $16,720 zone. The first major resistance is near the $16,800 zone and the 100 hourly SMA. It is close to the 61.8% Fib retracement level of the downward move from the $16,962 swing high to $16,561 low.
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The main barrier is still near the $17,000 level. A clear move above the $17,000 resistance might start a steady recovery wave. The next major resistance is near $17,200, above which the price rise towards the $17,500 resistance zone. Any more gains might spark a move towards the $18,000 resistance zone.
More Losses in BTC?
If bitcoin fails to clear the $16,800 resistance, it could continue to move down. An immediate support on the downside is near the $16,550 level.
The next major support is near the $16,350 level. A downside break below the $16,350 support might send the pair towards the $16,000 level. Any more losses might send the price towards $15,550.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Major Support Levels – $16,550, followed by $16,350.
Major Resistance Levels – $16,800, $17,000 and $17,200.