Bitcoin price analysis: BTC retraces below $24,000 support levels, Further Declines Expected

Bitcoin price analysis

TL;DR Breakdown

  • Bitcoin price analysis is bearish
  • Bitcoin failed to continue above the $24,300
  • Recently, BTC started a downside correction after a short-term rally from the $17,400

Our Bitcoin price analysis reveals the BTC has entered a bearish zone after failing to remain above the $24,000 support. Bitcoin is trading at $23,943.09 after trading in a sideways direction for a few hours. Bitcoin’s trading volume has remained above $35 billion, illustrating strong bearish momentum.

A break below the $23,800 support is likely to trigger further losses in the BTC price. The next major support levels are $22,400 and $21,200. On the upside, immediate resistance is at $24,000 followed by a key hurdle near the $25,000 level. If there is a strong break above the $25,000 resistance area, the BTC price could start a fresh rally.

Bitcoin price analysis on a daily chart: Consolidation Pattern

The daily chart Bitcoin price analysis shows that BTC  is trading in a range below the $24,000 resistance. The price action is painting a consolidation pattern and a break of either the upward or downward trendline could happen soon. A successful break above the upper trend line could open doors for more gains toward $25,000. However, if there is a break below the lower trend line, Bitcoin could test the $22,400 and $21,200 support levels.

image 444
BTC/USD 1-day price chart, source: TradingView

The Relative Strength Index is residing near the 56.03 levels, but it is facing strong resistance near the $55 and $60 levels. The MACD is slowly losing momentum in the bearish zone, which suggests that there could be more losses in the BTC price.

The Moving Average lines are also highlighting a bearish zone. Bitcoin bulls need to defend the $22,400 and $21,200 support levels in order to start a strong rally in the near term. The EMA50 is providing solid support at the $22,400 level.

Bitcoin Price analysis on a 4-hour: Support and Resistance Levels

The 4-hour Bitcoin price analysis shows that BTC is struggling to hold the $23,800 support. A break below this level could push the price lower toward the next major support at $22,400. On the upside, an initial resistance is near the $24,000 level (recent breakdown zone). Above this, the BTC price is likely to face resistance near the $24,400 and $25,000 levels.

image 445
BTC/USD 4-hour price chart, source: TradingView

The RSI for BTC/USD is still below the 50 level, which suggests that the bears remain in control. If there is a break below the $23,800 support, the BTC price could soon test the 50-SMA at $22,400. The price of Bitcoin is trading above the psychological level of $23,000 and if it dives below this level then we could see a further decline into the $21,200 area. The Stochastic RSI for BTC/USD is declining and it might test the oversold area soon. This indicates that there could be a bearish trend in the near term.

Bitcoin price analysis conclusion

Bitcoin price analysis for today shows BTC is trading in a bearish zone below the $24,000 level. The next major support levels are $22,400 and $21,200. A break above the $25,000 resistance area is needed for a trend reversal. Bulls are still keeping a close eye on the $23,800 support to protect against further losses. If the BTC price fails to stay above this level, it could extend its decline toward $22,400 and $21,200.

While waiting for Bitcoin to move further, see our Price Predictions on XDCCardano, and Curve

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Ann Mugoiri

Ann Mugoiri

Ann likes to write about crypto and blockchain technology. She has been following the development of these technologies for a few years and believes that they have the potential to disrupt many industries.She has specialized in technical analysis to help cryptocurrency traders make more informed decisions.

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