What Could Set Off A Sharp Drop In The Price Of Bitcoin?

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The price of bitcoin relative to the US dollar is having difficulty rising higher than $19,200. It’s possible that Bitcoin may begin a significant slide if it violates the support levels between $18,900 and $18,500.Bitcoin was unable to acquire any significant momentum and continued to trade in the negative territory below $19,500.As of this now, the price is trading lower than $19,400 and below the 100 hourly simple moving average.

On the hourly chart of the Bitcoin to United States Dollar currency pair, a short-term breakout pattern is forming with resistance near $19,200. (data feed from Kraken).
The pair has the potential to begin a gradual recovery if there is a decisive move above $19,200, followed by a move above $19,500.The price of bitcoin made an attempt to move closer to the area of resistance located at $19,500. Bitcoin (BTC) continued to trade in a bearish zone and even failed to break over the $19,400 resistance mark. A new high was established close to $19,344, and then there was a drop in price.

The price reached as low as $18,950 before continuing its downward trend and falling below the $19,200 barrier. Near the area of 18,938 dollars, a low has been formed, and the price is currently consolidating losses. It traded at a level that was above the 23.6% Fib retracement level of the most recent drop that began at the high of $19,344 and ended at the low of $18,938.

The price of bitcoin is currently trading at a level that is lower than $19,400 and the 100 hourly simple moving average. On the hourly chart of the Bitcoin/United States Dollar pair, there is also a short term breakout pattern forming with resistance near $19,200.On the positive side, an immediate barrier can be found close to the $19,150 price level. It is currently trading close to the 50% Fib retracement level of the recent fall from its high of $19,344 to its low of $18,938. The level of $19,200 and the trend line together constitute the primary source of opposition.

The level of $19,300 or the 100 hourly simple moving average might present the next significant barrier to buyers. A decisive break over the resistance at $19,300 may cause the price to go closer to the area of resistance at $19,500. Any additional gains could open the door for a move towards the area of resistance at $20,000 in the event that gains continue.Bitcoin’s price is likely to continue falling if it is unable to break through the area of resistance located at $19,200. On the negative side, immediate support can be found close to the area of $19,000.

The region close to $18,900 contains the subsequent important support. There is a risk of a break to the downside, which would be followed by a test of the primary support to the downside located close to $18,500. Any additional losses might trigger a severe slump, and the price could fall as low as $17,500 if it continues.

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