TA: Bitcoin is Facing Uphill Task, Why Bears Could Gain Strength Below $19K

Aayush Jindal

1 year ago

2 mins read

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Bitcoin price broke the $19,200 resistance, but it is still struggling near $19,500 against the US Dollar. BTC could decline sharply if there is a clear break below $19,150 and $19,000.

Bitcoin is struggling to gain bullish momentum above $19,400 and $19,500.
The price is approaching the $19,150 support and the 100 hourly simple moving average.
There was a break above a major bearish trend line with resistance at $19,150 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair struggled to capitalize and it is currently sliding from the $19,432 swing high.

Bitcoin Price is Attempting Upside Break

There was a steady increase in bitcoin price after a couple of spikes below $19,000. BTC broke the $19,000 resistance level and it even settled above the 100 hourly simple moving average.

More importantly, there was a break above a major bearish trend line with resistance at $19,150 on the hourly chart of the BTC/USD pair. The pair surpassed the $19,400 level, but there was lack of bullish momentum.

Bitcoin struggled to even test the $19,500 resistance level after the trend line break. A high is formed near $19,432 and the price is currently declining. It broke the 23.6% Fib retracement level of the recent wave from the $18,868 low to $19,432 high.

Source: BTCUSD on TradingView.com

The price is now approaching the $19,150 support and the 100 hourly simple moving average. The broken trend line at $19,150 and the 100 hourly simple moving average are providing support.

The 50% Fib retracement level of the recent wave from the $18,868 low to $19,432 high is also near the $19,150 level. As long as the price is above $19,150 and the 100 hourly SMA, it could attempt another upside break. The main resistance is still near $19,500, above which the price may possibly test $20,000.

Downside Break in BTC?

If bitcoin fails to stay above the $19,150 support and the 100 hourly simple moving average, it could decline sharply. An initial support is near the $19,000 level.

A proper close below the $19,000 support might increase pressure on the bulls and the bears are likely to gain traction. The next major support sits near the $18,500 level.

Technical indicators:

Hourly MACD – The MACD is slowly gaining momentum in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently just above the 50 level.

Major Support Levels – $19,150, followed by $19,000.

Major Resistance Levels – $19,400, $19,500 and $19,800.

Aayush Jindal

Aayush Jindal, a luminary in the world of financial markets, whose expertise spans over 15 illustrious years in the realms of Forex and cryptocurrency trading. Renowned for his unparalleled proficiency in providing technical analysis, Aayush is a trusted advisor and senior market expert to investors worldwide, guiding them through the intricate landscapes of modern finance with his keen insights and astute chart analysis.

From a young age, Aayush exhibited a natural aptitude for deciphering complex systems and unraveling patterns. Fueled by an insatiable curiosity for understanding market dynamics, he embarked on a journey that would lead him to become one of the foremost authorities in the fields of Forex and crypto trading. With a meticulous eye for detail and an unwavering commitment to excellence, Aayush honed his craft over the years, mastering the art of technical analysis and chart interpretation.
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In a world where uncertainty reigns supreme, Aayush Jindal stands as a guiding light, illuminating the path to financial success with his unparalleled expertise, unwavering integrity, and boundless enthusiasm for the markets.

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