Bitcoin price analysis is struggling to find a direction as the pair oscillates within a thin range. The BTC/USD pair is hovering near $19,777 and the pair seems directionless as the weekend comes to a close. Most of the day traders are refraining from making large trades as the pair is stuck in a tight range.
Bulls are not able to maintain a momentum that will land the pair comfortably above the $20,000 resistance. The overhead resistance at $20,600, and then at $21,000 is becoming a huge challenge for the BTC bulls. The downtrend line reigns supreme in the hourly charts since the indication in Bitcoin price analysis turns more bearish as per Bitcoin price analysis.
Bitcoin price movement in the last 24 hours: Short-term corrective phase over?
If the current Bitcoin price analysis is read thoroughly, the indicators suggest that the present correction could be a short-term phase. The resistance at $20,500 is the immediate level to cross but bulls need to do so with strong momentum and enough volume. The BTC/USD pair is unable to source volume over the weekend. The price level at $21,100 represents the 20-day exponential moving average.
The buyers must cross the 20-day EMA to counter the negative sentiment. The 50-day simple moving average at $22,300 will then offer stiff resistance on the daily timeframe. The bears have lined up strong sell orders near the 50-day SMA to tempt the bulls. The day traders can witness huge selling action in case the BTC/USD rises those levels in the coming week.
BTC/USD 4-hour chart: More downside on the hourly charts
The price can quickly slide below since most of the oversold technical indicators have turned mild. The pair can break under the $19,600 support zone fast and move towards $18,910 level. The bulls needs to make their defenses strong in order to aggressively safeguard their interests.
The RSI indicator is near the 40 level on the hourly charts which means there is fair amount of room for a downside. The pair can easily slide to $18,910 level and the RSI will still have room for more downside on the charts. The MACD indicator also does not show any large crossover anytime soon. This only means that the bearish onslaught is continuing on the charts albeit mildly compared to the swift action two weeks ago.
Bitcoin price analysis conclusion: BTC firmly in the bearish grip
Bitcoin, the king of cryptocurrencies, is clearly in a bearish grip. The pair is recovering from the flag and pole bearish pattern that emerged on the hourly charts two weeks ago. The bulls are defending the $20,000 support on and off. However, the underlying premise in Bitcoin price analysis remains bearish and the hourly charts are likely to show another dip in the upcoming week.
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