Bitcoin Price Analysis: BTC Renewed One-Week Low Below $21,000; No Hope Of Reversal?

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Published 10 mins ago

The Bitcoin price broke the $21,000 level briefly on Wednesday, sending jitters to the buyers. In today’s session, the BTC moves in a very tight range with limited upside potential. The analysis indicates a bearish bias unless a strong reversal sign appears on the chart.

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  • BTC price extends the previous session’s loss on Tuesday.
  • However, the downside momentum slows down near the weekly support of $20,770.
  • A daily close above $21,800 could be a last hope for the bulls.

BTC price continues south

BTCUSD Daily
Source: Trading view

On the daily chart, the BTC price reaches a crucial level, a weekly support structure near $20,800 to $21,000. A make or break point for BTC investors.

After the much-awaited breakout, the bulls failed to sustain above the critical 50-day exponential moving average (EMA).

A daily close below the $20,700 level would intensify toward $20,200 followed by $19,000.

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BTC after giving an impulse move from the extended consolidation between $18,900 to 22,300, the upside momentum is exhausted or waiting for further confirmation. However, the formation of multiple Doji candlesticks indicates rejection near $24,400.Thus, inducing a distribution phase.

BTCUSD 2 hours T.F
Source: Trading view

Two-hour time frame suggests consolidation

On the two hourly charts, BTC sought support near  61.8%  Fibonacci retracement connecting from recent swing lows to swing high. It is also 61.8% known as a golden level. The momentum oscillator remains neutral.

As of writing, BTC/USD is exchanging hands at $21,087.20, down 1.01% in the past 24-hour. On the contrary, the trading volume rose to 31% at $38,012,601,557. A bearish sign.

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Conclusion

The price faces a strong upside barricade with a technical setup in favor of bears. The higher probability of breaking the lower level is favored.

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Rekha has started as Forex market analyst. Analyzing fundamental news and its impact on the market movement. Later on, develop an interest in the fascinating world of cryptocurrency. Tracking the market using technical aspects. Exploring on-chain analysis to track the market.

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The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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