TA: Bitcoin Price Topside Bias Vulnerable If It Continues To Struggle Below $24K

Bitcoin

Bitcoin is facing a key resistance near the $23,500 zone against the US Dollar. BTC must clear $23,500 to avoid a fresh bearish reaction in the near term.

Bitcoin Price Upsides Capped

Bitcoin price gained pace after it broke the $23,500 support zone. The price even traded below the $23,000 level to move into a short-term bearish zone.

However, the bulls protected the $22,650 zone. The 50% Fib retracement level of the upward move from the $20,692 swing low to $24,671 high acted as a support. The price formed a base and recently recovered losses above the $23,000 level. Bitcoin climbed above the 23.6% Fib retracement level of the downward move from the $24,699 swing high to $22,649 low. The price even spiked above the $23,400 level, but it faced a strong resistance near $23,500.

It is now trading below the $23,200 level and the 100 hourly simple moving average. There is also a key rising channel forming with support near $22,800 on the hourly chart of the BTC/USD pair. On the upside, bitcoin price is facing resistance near the $23,200 level and the 100 hourly SMA.

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The next key resistance is near the $23,500 zone. A close above the $23,500 resistance zone could set the pace for a decent increase. In the stated case, the price may perhaps rise towards the $24,215 level. The next major resistance sits near the $24,700 level.

More Losses in BTC?

If bitcoin fails to clear the $23,500 resistance zone and the channel resistance, it could continue to move down. An immediate support on the downside is near the $22,800 level. The next major support now sits near the $22,640 level. A close below the $22,640 level might spark a sharp decline to $21,750. Any more losses might send the price towards $21,000 level. Technical indicators: Hourly MACD – The MACD is now gaining pace in the bearish zone. Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now near the 50 level. Major Support Levels – $22,800, followed by $22,500. Major Resistance Levels – $23,200, $23,500 and $24,180.
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