TA: Bitcoin Rally Vulnerable If It Continues To Struggle Below $13.2K

Bitcoin price made another attempt to gain momentum above $13,200 against the US Dollar, but failed. BTC is likely to react to the downside if it continues to struggle near $13,200 and $13,300.

  • Bitcoin corrected lower below $13,000, but it found support near $12,800.
  • The price is back above the $13,000 zone and the 100 hourly simple moving average.
  • There is a key bullish trend line forming with support near $12,880 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair must gain strength above $13,200 to continue higher towards $13,500 in the near term.

Bitcoin Price is Lacking Momentum

Bitcoin price failed to stay above the $13,200 zone and started a downside correction. BTC broke the $13,100 and $13,000 levels, but the bulls were able to defend the $12,800 region.

A low is formed near $12,790 and the price is currently rising. It is back above the $13,000 zone and the 100 hourly simple moving average. There was a break above the 50% Fib retracement level of the recent drop from the $13,247 high to $12,790 low.

On the upside, the $13,150 level is an initial hurdle for the bulls. It is close to the 76.4% Fib retracement level of the recent drop from the $13,247 high to $12,790 low. There is also a connecting bearish trend line forming with resistance near $13,200 on the hourly chart of the BTC/USD pair.

Bitcoin Price

Source: BTCUSD on TradingView.com

Bitcoin price must clear the $13,200 resistance and gain momentum to continue higher. The next major resistance on the upside is near the $13,300 level, above which the price might test $13,500.

Bearish Reaction in BTC?

If bitcoin fails to climb above the trend line and the $13,200 resistance zone, there could be a bearish reaction. An initial support is near the $13,000 zone and the 100 hourly simple moving average.

A downside break below the 100 hourly SMA could lead the price towards the $12,800 support. There is also a key bullish trend line forming with support near $12,880 on the same chart. A clear break below the trend line support could open the doors for a larger decline in the coming sessions.

Technical indicators:

Hourly MACD – The MACD is struggling to gain momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is still above the 50 level, with positive signs.

Major Support Levels – $13,000, followed by $12,800.

Major Resistance Levels – $13,150, $13,200 and $13,500.



from NewsBTC https://www.newsbtc.com/analysis/btc/ta-bitcoin-rally-vulnerable-if-it-continues-to-struggle-below-13-2k/

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