Bitcoin Price Spikes To $19K, Why BTC Could Correct Lower In Short Term

Bitcoin

Bitcoin price climbed further higher above $18,500. BTC tested the $19,000 resistance zone and is currently consolidating gains.

Bitcoin Price Tests $19K

Bitcoin price remained well bid above the $18,000 zone. BTC formed another bullish breakout and was able to surge above the $18,500 resistance zone, unlike ethereum.

The price cleared the $18,800 resistance zone and even spiked above the $19,000 level. A high is formed near $19,098 and the price is now consolidating gains. There was a minor decline below the $18,900 level. The price declined below the 23.6% Fib retracement level of the upward move from the $17,927 swing low to $19,098 high.

Bitcoin price is trading above $18,200 and the 100 hourly simple moving average. There is also a connecting bullish trend line forming with support near $18,600 on the hourly chart of the BTC/USD pair.

Source: BTCUSD on TradingView.com

On the upside, an immediate resistance is near the $19,000 level. The next major resistance is near the $19,200 zone, above which the price might start another steady increase. In the stated case, the price may perhaps rise towards the $19,500 level. Any more gains might send btc price towards the $20,000 level.

Downside Correction in BTC?

If bitcoin price fails to clear the $19,000 resistance, it could start a downside correction. An immediate support on the downside is near the $18,650 level.

The next major support is near the $18,500 level and the trend line. It is near the 50% Fib retracement level of the upward move from the $17,927 swing low to $19,098 high. The main support is now forming near the $17,800 level, below which the price might retest $17,000.

Technical indicators:

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

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

Major Support Levels – $18,650, followed by $18,500.

Major Resistance Levels – $19,000, $19,200 and $20,000.

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