Bitcoin (BTC) Price Prediction – May 20
After four straight bullish days, BTC/USD bears are taking control of the market.
BTC/USD Long-term Trend: Bullish (Daily Chart)
Resistance Levels: $11,000, $11,200, $11,400
Support Levels: $8,000, $7,800, $7,600
After encountering another rejection at $10,000, BTC/USD is struggling to hold above the intraday support at $9,500 as the coin touches the low of $9,293 today. Since a couple of days ago, the bulls’ focus has been to break the resistance at $10,000 level but just like Monday and yesterday, BTC/USD is currently facing a growing bearish grip as the daily chart reveals.
Take for instance, at the time of writing; BTC/USD is valued at $9,525 after losing 2.64% on the day. The daily chart also shows the possibility of sideways trading taking precedence and a glance at the RSI (14) indicates that the prevailing trend is neither bearish nor bullish as its signal line moves below 60-level. However, as a result, the price of Bitcoin is trading below the 9-day moving average.
Moreover, the current decline is such that the price drops below $9,700 and $9,600 levels. It is currently consolidating above $9,500 and could fix higher. In addition, the main resistance is at $11,000, $11,200 and $11,400. Conversely, if there is no recovery above $10,000, the price may continue to fall to the support levels of $8,000, $7,800, and $7,600 respectively.
BTC/USD Medium – Term Trend: Ranging (4H Chart)
Looking at the 4-hour chart, the Bitcoin price is still under $9,600 and could continue to weaken if the price continues to fall below the 9-day and 21-day moving averages. However, once the current correction is completed, it may likely reach the support of $9,100 and below before the price could allow a decent recovery.
Similarly, the technical indicator RSI (14) shows a downward price momentum, as it is in the bearish zone and the signal line is moving above the 40-level. The BTC/USD may experience further resistance of $10,000 if it raises the much-needed price recovery above $9,800. At the moment, the market is in the ranges of $9,300 and $9,900 levels.
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