Bitcoin Bulls Are Overwhelmed By Bears As It Crashes To $19,200 Low

Bitcoin (BTC) has lost the psychological price level of $20,000 as it has regained the previous low of $17,605. Bitcoin bulls and bears have been in a price battle above the $20,000 support level since June 18.

The uptrend was hindered as the bulls failed to break through the $21,675 and $23,010 resistance levels. Bitcoin would have regained the high of $30,000 if the buyers had overcome these resistances. The largest cryptocurrency is now in a downtrend as the bears have broken below the $20,000 support. 

Today, the BTC price is trading at $19,274 at press time. Bitcoin is heading towards the previous low of June 18, which is $17,605. However, if the bears break below the previous low, the market will continue to fall to $15,000. On the other hand, if the BTC price declines and holds above the support of $17,605, Bitcoin could rise again. A price recovery will catapult Bitcoin to the high of $25,407, which was reached on May 11.

Bitcoin indicator reading

Bitcoin is at level 29 on the Relative Strength Index for period 14. The current decline has pushed Bitcoin into oversold territory in the market. This suggests that Bitcoin will soon reach bearish exhaustion. The BTC price is below the 40% area of the daily stochastic. Bitcoin is in a bearish momentum. The cryptocurrency price bars are below the moving averages, indicating a possible decline. The 21-day line SMA and the 50-day line SMA are sloping downward, indicating a downtrend.

Technical indicators:  

Major Resistance Levels - $30,000 and $35,000

Major Support Levels - $20,000 and $15,000

What is the next direction for BTC?

The price of Bitcoin (BTC) is in a downtrend as the bears have broken below the $20,000 support. Fibonacci tool analysis is likely if the downtrend continues. Meanwhile, on May 13 downtrend, a retraced candle body tested the 61.8% Fibonacci retracement level. The retracement suggests that BTC will fall to the 1.618 Fibonacci extension level or $16,647.

Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their research before investing funds.