Bitcoin Price Faces Rejection And It’s Vulnerable to a Drop Below $22K

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Bitcoin price is moving lower below the $22,200 level. BTC could take a hit if there is a close below the $22,000 support zone in the near term.

  • Bitcoin is showing bearish signs below the $22,500 resistance zone.
  • The price is trading below $22,250 and the 100 hourly simple moving average.
  • There is a key bearish trend line forming with resistance near $22,250 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair remains at a risk of a larger decline if there is a close below $22,000.

Bitcoin Price At Risk

Bitcoin price attempted an upside correction from the $22,000 support zone. BTC climbed above the $22,250 and $22,400 levels. However, the bears were active near the $22,600 level.

The price faced a rejection near the $22,600 level and recently declined sharply. There was a sharp move below the $22,200 and $22,000 levels. A low is formed near $21,904 and the price is now consolidating losses. There was a minor increase above the $22,000 level.

Bitcoin price is now trading below $22,250 and the 100 hourly simple moving average. It is testing the 50% Fib retracement level of the recent decline from the $22,600 swing high to $21,904 low.

An immediate resistance is near the $22,250 level. There is also a key bearish trend line forming with resistance near $22,250 on the hourly chart of the BTC/USD pair. The next major resistance is near the $22,420 zone. It is near the 76.4% Fib retracement level of the recent decline from the $22,600 swing high to $21,904 low.

Bitcoin Price

Source: BTCUSD on TradingView.com

The main barrier is now near the $22,750 zone. A close above the $22,750 resistance might start a decent increase towards the $23,200 resistance zone. The next key resistance is near the $23,850 zone, above which the price might rally.

More Losses in BTC?

If bitcoin price fails to clear the $22,250 resistance and $22,420, it could start another decline. An immediate support on the downside is near the $22,000 zone.

The next major support is near the $21,800 zone, below which the price might drop to $21,200. The next major support is near the $20,500 level. Any more losses might send the price towards the $20,000 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 below the 50 level.

Major Support Levels – $22,000, followed by $21,200.

Major Resistance Levels – $22,250, $22,420 and $23,000.

Source: NewsBTC

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