TA: Bitcoin Price Correction To $22k On Horizon After Bears Lose Control At $20k

Aayush Jindal

Last Updated: June 11, 2024 11:43 am

2 mins read

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Bitcoin is consolidating near the $20,000 zone against the US Dollar. BTC could start a decent recovery wave if it clears the $20,550 resistance zone.

Bitcoin is showing a few positive signs above the $20,000 resistance.
The price is now trading above the $20,000 level and the 100 hourly simple moving average.
There is a connecting bearish trend line forming with resistance near $20,340 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair must clear the $20,340 zone and $20,550 to start a steady increase.

Bitcoin Price Struggles

Bitcoin price started a minor upside correction above the $20,000 resistance zone. BTC even cleared the $20,200 resistance zone and the 100 hourly simple moving average.

It spiked above the $20,500 level but the bulls struggled to push the price further higher. A high was formed near $20,576 before there was a bearish reaction. The price declined sharply below the $20,000 level and the 100 hourly simple moving average.

However, it stayed above the $19,500 support zone. A low is formed near $19,555 and the price is now rising. There was a move above the 50% Fib retracement level of the recent decline from the $20,576 swing high to $19,555 low.

Bitcoin is now trading above the $20,000 level and the 100 hourly simple moving average. On the upside, an immediate resistance is near the $20,340 level.

There is also a connecting bearish trend line forming with resistance near $20,340 on the hourly chart of the BTC/USD pair. The trend line is near the 76.4% Fib retracement level of the recent decline from the $20,576 swing high to $19,555 low.

Source: BTCUSD on TradingView.com

The next major resistance sits near the $20,550 level. A clear move above the $20,550 resistance might send the price towards $21,000. Any more gains might send the price towards the $22,000 resistance zone.

Fresh Decline in BTC?

If bitcoin fails to clear the $20,550 resistance zone, it could start another decline. An immediate support on the downside is near the $20,000 zone.

The next major support sits near the $19,780 level. A break below the $19,780 support might push the price to $19,550. Any more losses might call for a new low below $19,500.

Technical indicators:

Hourly MACD – The MACD is now gaining pace in the bullish zone.

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

Major Support Levels – $19,780, followed by $19,500.

Major Resistance Levels – $20,340, $20,550 and $21,000.

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.
As a software engineer, Aayush harnesses the power of technology to optimize trading strategies and develop innovative solutions for navigating the volatile waters of financial markets. His background in software engineering has equipped him with a unique skill set, enabling him to leverage cutting-edge tools and algorithms to gain a competitive edge in an ever-evolving landscape.

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Aayush's journey to success is marked by a relentless pursuit of excellence and a steadfast commitment to continuous learning and growth. His academic achievements are a testament to his dedication and passion for excellence, having completed his software engineering with honors and excelling in every department.

At his core, Aayush is driven by a profound passion for analyzing markets and uncovering profitable opportunities amidst volatility. Whether he's poring over price charts, identifying key support and resistance levels, or providing insightful analysis to his clients and followers, Aayush's unwavering dedication to his craft sets him apart as a true industry leader and a beacon of inspiration to aspiring traders around the globe.

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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