Bitcoin (BTC) price stuck in a key range
Dec 12, 2022
Bitcoin price failed to clear the $17,300 zone and corrected lower. BTC could find strong buying interest near $16,900 or $16,700 in the coming sessions.
Bitcoin failed to pick up the pace for a move above $17,300 and $17,450.
The price is trading below $17,000 and the 100 hourly simple moving average.
A key downtrend line is forming with resistance near $17,150 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could rally if it holds above the $16,900 and $16,700 support levels.
Bitcoin Price Remains Supported
Bitcoin price was able to clear the $17,000 resistance zone. However, the price failed to gain pace for a move above $17,300 and $17,450. A high was formed near $17,292 and the price started a new decline.
There was a clear move below the $17,100 and $17,000 levels. The price dipped below the 50% Fibonacci retracement level of the up move from the $16,700 low to the $17,292 high. Bitcoin price is now trading below $17,000 and the 100 hourly simple moving average.
There is also a key downtrend line forming with resistance near $17,150 on the hourly chart of the BTC/USD pair. The pair is now approaching the 61.8% Fibonacci retracement level of the up move from the $16,700 low to the $17,292 high.
To the upside, immediate resistance is near the $17,050 level. The first major resistance is near the $17,150 zone and the trend line, above which the price might start a new rise.
In the indicated case, the price could rally toward the $17,300 resistance. The next major resistance is near $17,450, above which the price rally towards the $18,000 area in the short term.
Breakout to the downside in BTC?
If bitcoin fails to clear the $17,150 resistance, further losses could be in store. Immediate support on the downside is near the $16,900 level.
The next major support is near the $16,700 area or the latest low. A break below the $16,700 support could trigger a drop toward $16,500. More losses could push the price toward the $16,200 zone in the near term.
Technical indicators:
Hourly MACD – The MACD is now picking up pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now in the oversold zone.
Main support levels: $16,900, followed by $16,700.
Main resistance levels: $17,050, $17,150, and $17,450.
They will wonder what I am doing analyzing the BTC because the answer is simple: It is who moves the market. In addition, the BCH has been very low, even more than expected. Apparently, it has no limits when it goes down, it's incredible. It only remains to hope that the BTC increases in value and pray that the BCH increases with it a little.
