Bitcoin Price Reaches Inflection Zone As The Bears Slowly Take Control

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Bitcoin price is moving lower and trading below $25,000. BTC remains at a risk of a downside break if it stays below the $25,200 resistance zone.

  • Bitcoin started a downside correction below the $25,500 support zone.
  • The price is trading above $24,000 and the 100 hourly simple moving average.
  • There is a key bearish trend line forming with resistance near $24,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could start a fresh increase if it stays above the $23,500 support zone.

Bitcoin Price Trims Gains

Bitcoin price started a downside correction from the $26,500 resistance zone. BTC declined below the $25,500 and $25,000 support levels to move into a short-term bearish zone.

The price even declined below the $24,000 level and traded as low as $23,913. It is now consolidating in a range above the $24,000 level. It is trading near the 23.6% Fib retracement level of the recent decline from the $26,526 swing high to $23,913 low.

Besides, bitcoin price is now trading above $24,000 and the 100 hourly simple moving average. There is also a key bearish trend line forming with resistance near $24,500 on the hourly chart of the BTC/USD pair.

Clearly, the price is near an inflection zone, with an immediate resistance near the $24,500 level. The next major resistance is near the $25,200 zone. It is near the 50% Fib retracement level of the recent decline from the $26,526 swing high to $23,913 low.

Bitcoin Price

Source: BTCUSD on TradingView.com

A close above the $25,200 resistance might start a fresh increase towards the $26,000 resistance. The next key resistance is near the $26,500 zone, above which the price might rise towards $27,500.

Downside Break in BTC?

If bitcoin price fails to clear the $25,200 resistance, it could start another decline. An immediate support on the downside is near the $24,000 zone.

The next major support is near the $23,500 zone and the 100 hourly simple moving average, below which the price gain bearish momentum. The next major support is near the $22,600 level. Any more losses might send the price towards the $22,000 level.

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 – $24,000, followed by $23,500.

Major Resistance Levels – $24,500, $25,200 and $26,000.

Source: NewsBTC

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