Bitcoin, Cryptocurrency

Expect for Bitcoin to initiate a critical adjustment if it closes below $11,200

Bitcoin price is still striving to gain bullish drive above $11,500 versus the US Dollar.


  • Bitcoin is coping with settling above the $11,500 and $11,520 resistance level.
  • The price is currently trading just above the $10,400 support and the 100 hourly simple moving average.
  • There is a significant bullish trend line forming with support near $11,400 on the BTC/USD pair (data feed from Kraken).
  • The dynamic duo could start a strong downside correction if it breaks the 100 hourly SMA and then $11,200.

Bitcoin Price Lacks Bullish Momentum

After trading to a new monthly high at $11.724, bitcoin price started a downside correction against the US Dollar. BTC broke the $11,520 and $11,500 support levels to move into a short-term bearish zone.

The price tested the $11,300 zone and remained well bid above the 100 hourly simple moving average. A low is formed near $11,315, and the price is currently rising. It surpassed the 23.6% Fib retracement level of the recent decline from the $11,724 high to $11,315 low.

Despite this, the bulls are still struggling to gain strength above the $11,500 and $11,520 resistance level. The 50% Fib retracement level of the recent decline from the $11,724 high to $11,315 low is also near the $11,520 level.

Source: BTCUSD on TradingView.com

On the downside, the 100 hourly SMA endures the key at $11,400. There is also a key bullish trend line forming with support near $11,400 on the BTC/USD pair’s hourly chart.

If there is a downside break below the trend line support and the 100 hourly SMA, bitcoin price may even slide below the $11,315 support. The next significant support is near the $11,200 level, below which there is a risk of a more massive downside correction in the near term.

Fresh Rally in BTC?

If bitcoin stays above the $11,200 support level, there are chances of a new rally. The first significant barrier is near the $11,500 and $11,520 level.

A strong close above the $11,520 level could open the doors for a move towards the $11,724 high. Any further gains are likely to lead the price towards the $12,000 barrier in the coming sessions.

Technical indicators:

Hourly MACD – The MACD currently lacks momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is just below the 50 levels, with a bearish angle.

Primary Support Levels – $11,400, followed by $11,200.

Major Resistance Levels – $11,500, $11,520 and $11,700.

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