Bitcoin Price Dips As Dollar Rips, Key Support Nearby

Bitcoin price is correcting gains below the $23,250 zone. BTC must stay above the $22,500 support to avoid a major drop in the coming sessions.

• Bitcoin is correcting gains below the $23,250 support zone.
• The price is trading below $23,250 and the 100 hourly simple moving average.
• There was a break below a key bullish trend line with support near $23,380 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair could continue lower towards the $22,500 support zone in the near term.

Bitcoin Price Remains Supported

Bitcoin price failed to settle above the $24,000 level and started a downside correction. BTC declined below the $23,500 and $23,250 support levels to move into a short-term bearish zone.

There was a break below a key bullish trend line with support near $23,380 on the hourly chart of the BTC/USD pair. The pair even declined below the $23,000 level. A low is formed near $22,758 and the price is now consolidating losses.

Bitcoin price is trading below $23,250 and the 100 hourly simple moving average. An immediate resistance is near the $23,000 zone. It is near the 23.6% Fib retracement level of the recent decline from the $23,589 swing high to $22,758 low.

The next major resistance is near the $23,200 zone. There is also a connecting bearish trend line with resistance near $23,200 on the same chart. The trend line is close to the 50% Fib retracement level of the recent decline from the $23,589 swing high to $22,758 low.

Source: BTCUSD on TradingView.com

A clear move above the $23,200 resistance might start a decent increase. In the stated case, the price may perhaps rise towards the $23,500 level. The next resistance could be near the $24,250 level, above which btc price might test $25,000.

More Losses in BTC?

If bitcoin price fails to clear the $23,200 resistance, it could continue to move down. An immediate support on the downside is near the $22,750 zone.

The next major support is near the $22,550 zone. A downside break below the $22,500 level might send the price towards the $22,200 level. Any more losses might send the price to $21,500 in the near term.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $22,750, followed by $22,550.

Major Resistance Levels – $23,000, $23,200 and $23,500.