Bitcoin (BTC) trades below $23,000 Against Tether (USDT) After weeks of showing strong bullish signs, as investors shift sentiment from bull to bear trap.
BTC price failed to maintain its bullish structure as it broke below the zone, leaving investors confused as Bitcoin weekly traded just above the key zone.
Bitcoin (BTC) trading analysis on weekly chart
From the chart, BTC price saw a weekly low of $22,800, which rebounded from that zone and climbed to $25,200 after showing a spectacular recovery signal in recent weeks.
BTC weekly candle closed with a bearish sentiment in the new week candle showing signs of weakness.
The price is struggling to build more momentum as it tries to hold key support.
If BTC price continues with this formation on the weekly chart, it could quickly revisit $20,800, acting as a key support. BTC price needs to maintain this support area to avoid a downside correction towards the $19,000 area.
Weekly resistance for BTC price – $22,500.
Weekly support for BTC price – $20,800.
BTC price on daily (1D) chart
BTC price broke the downside of the rising wedge and broke BTC key support areas with more sell orders.
BTC price needs to bounce back and form support above $20,800 to avoid panic below $20,800.
Bitcoin has shown strength maintaining this support, if the bulls move we could see BTC price rise to the $22,500 area, acting as resistance.
At the time of writing, BTC is trading at $21,300, just below the 50 and 200 exponential moving averages (EMAs), which correspond to the $23,000 and $28,000 prices.
The Relative Strength Index (RSI) for BTC price on the daily chart is below 35, indicating a sell order.
Daily (1D) resistance for BTC price – $22,500.
Daily (1D) support for BTC price – $20,800.
BTC price analysis on 4-hours (4H) chart
BTC price continued to show a bearish structure below the 50 and 200 EMAs, corresponding to $23,000, acting as resistance for BTC price.
If BTC fails to sustain the $20,800 support area, we could see the price retesting the $19,000 area as the next support area for BTC price to sustain. After the retracement by BTC price, we will see a relief bounce before the next movement for BTC.
Four-hour (4h) resistance for BTC price – $23,000.
Four-hour (4H) support for BTC price – $20,800.
Featured image from zipmex, Charts from TradingView.com