Bitcoin Eyes Another Increase To $22K But Dips Remain Supported

Bitcoin eyes another increase to $22K but the dips remained supported still near the $20,500  level so let’s have a closer look at our latest Bitcoin news.

Bitcoin started a new increase above the $21,000 resistance against the US dollar and the coin could rise to $22,000 if it manages to stay above the $20,500 support. BTC is moving higher above this resistance zone and the price is now trading near the $20,800 support level, testing the 100 hourly simple moving average. There was a break above the short-term bearish trend line with the resistance near $21,000 on the hourly charts and the pair could gain more bullish momentum if it manages to clear the $21,500 and the $21,600 level.

The BTC price formed a new base near the $19,200 level and started a new increase with the price trading near the $20,500 resistance zone to enter the positive zone. The price even gained pace near the $21,000 level and settled near the 100-hourly simple moving average. The new high was formed near $21,664 before a downside correction occurred and the price traded below $21,000 but the bulls became more active near the $20,750 zone. A low was formed near $20,748 and the price is still increasing after it broke the 23.6% fib retracement level of the move to $21,664 high to $20,748 low.

There was a break above the short-term bearish trend line with the resistance near the $21,000 on the charts for the BTC/USD pair and on the upside, BTC price could resistance near the $21,200 level. It is also near the 50% fib retracement level of the move from $21,664 high to $20,748 low. Bitcoin eyes another increase to $22K so a close above the $21,500 resistance could set the pace for a new increase. The price could also rise to $22,000 and the next major resistance sits near $22,800.

If BTC fails to clear the $21,500 resistnace zone it can start a new downside correction with immediate support being near the $21,000 level. The next major support sits near the $20,750 level with the 100 hourly SMA and a move below $20,750 could send the price lower. The hourly MACD is gaining pace in the bullish zone and the hourly RSI is above the 50 levels.

Yesterday we saw that the past week was not so good for the main cryptocurrency as the asset was rejected at $22,000 and lost value gradually. The situation got worse in the middle of the week when the US announced new CPI numbers showing Bitcoin reacted with strong volatility and dropped below $19,000.