Bitcoin Price Analysis: BTC Still Not Out Of Wood As Struggles Near $23,000

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Bitcoin price analysis shows a neutral outlook. As the price continues to consolidate near the $23,000 mark. The extended consolidation makes investors nervous as the fight between bulls & bears continues. The largest cryptocurrency by the market cap trades with modest gains on Wednesday. As of writing, BTC/USD trades at $22,889, up 0.31%. The bulls failed to capitalize on the late buying in the previous session. And, trades in $23,200 and $22, 800 narrow trading range.

On the daily chart, the price retraced after testing the highs and continued its upward journey. On July 8 and July 20 the price tested fresh highs and immediately fell into a corrective pullback. We can see the replication of the previous price pattern. After testing, the swing highs of $24,666 on July 30, BTC faced a pullback. Further, the price could correct up to $22,500. That could be a discount buying opportunity.

  • Bitcoin price offers no surprises as it remained offered near $23,000.
  • A bounce back is expected if the bulls manage to hold $22,800-$22,500 support zone.
  • However, a fall out below $22,200 would invalidate any bullish argument.

BTC price displays consolidation

Source: Trading view

BTC price is trading in an ascending channel, making higher highs and higher lows on a daily basis. Currently, the price is hovering near the 20-day EMA for the last three days. Thus, making it a crucial level to trade.

After giving an impulse move from $20,700 to $24,670, BTC’s price takes a retracement from a higher level to the 50% Fibonacci level, which is at $22,700. 

The daily chart shows BTC’s price makes a crucial support zone that extends from $22,700 to $22,500. At the same time, the nearest resistance is at $23,200.  If the price is able to close above  $23,200, with good volumes then we can expect a good to bullish momentum up to the highs at $24,600.

On the contrary, a spike in sell orders could blow out the low of July 24 at $22,260. On moving lower, the sellers could test $21,500.

Source: Trading view

On the hourly time frame, the price formed a “Triple Bottom pattern” indicating strong support on lower levels. According to this pattern, If the price breaks its neckline on the higher level above $23,200 with good volumes, then the expected upside momentum in  BTC price can go above $23,500 to $23,750. 

On the other hand, a break below the $22,650 level could invalidate the bullish outlook. And the price can be below $22,200

BTC is bullish on all time frames. Above $23,200  closing on the hourly time frame, we can put a trade on the buy side. 

 

The post Bitcoin Price Analysis: BTC Still Not Out Of Wood As Struggles Near $23,000 appeared first on CoinGape.

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