Bitcoin Struggling Below $19,000 Price Level

Key Take-Aways

From the $15,540 region, the price of bitcoin began an upward correction.

On the 4-hours chart, a crucial bearish trend line is developing with resistance close to $17,320.

Above $17,500 and $18,000, the price might find it difficult to gain bullish momentum.

Gains were maintained over 1.0400 and 1.1950 for the EUR/USD and GBP/USD, respectively.

Technical Analysis of the Bitcoin Price

Following the demise of FTX exchange, the price of bitcoin against the US dollar significantly decreased. Bitcoin/USD fell below the $16,000 mark and even breached the $20,000 support.

The pair dropped below the $17,000 level, the 100 simple moving average (red, 4-hours), and the 200 simple moving average, according to the 4-hours chart (green, 4-hours).

Before the bulls intervened, it traded as low as $15,543. Above the $16,500 barrier level, the price of bitcoin began to rise. A small upward movement took place above the 23.6% Fib retracement level of the primary decline from the swing high of $22,286 to the low of $15,543.

The price is up against a big resistance level at $17,350. On the same chart, a significant negative trend line with resistance close to $17,320 is also developing.

The next barrier is located close to the $18,000 region. It is close to the 50% Fib retracement level of the primary decline from the swing high of $22,286 to the low of $15,543. A closing above $18,000 could perhaps signal the beginning of another gradual rise in the following days.

In the hypothetical situation, the cost might increase to around $19,150. Any additional gains might accelerate a move in the direction of the $20,000 mark.

An early support for the downside is located close to the $16,150 mark. The $15,500 zone is where the primary breakdown support is located. In the following days, bitcoin could fall toward the $13,800 support if there is a negative break.

Economic News To Trade Today

UK Consumer Price Index for October 2022 (YoY): forecasted increase of 10.7% vs. prior increase of 10.1%.

US retail sales for October 2022 (MoM) are expected to increase by 1.0% from the previous month.

Amogo Solomon is a Broker-Dealer/Market Research analyst and writer in ACT Brokers with a background in Computer Science, Data Analytics, and Forex Broker Dealing. He specializes in Forex Dealing, markets Analysis, Currency research, forex fundamental and technical analysis, and Monitoring of Forex trends, Stocks, Equities, Cryptos, and Commodities. He possesses strong technical and analytical skills and is well known for his entertaining and informative analysis of the global economy, fiat currency, commodities, Stocks, Indexes, Futures, and Options markets. He held a Bachelor's degree in Computer Science and Nanodegree in Programming for Data Science Enterprise.