Bitcoin dropped as expected, 22,000 seen as key support

The price of bitcoin crashed in the short term. It was trading at 22,343 at the time of writing. BTC/USD dropped by 8.30% from Wednesday's high of 23,990 to 22,000 today's low.

In the last 7 days, bitcoin was down by 4.62% and by 4.20% in the last 24 hours. The current sell-off forced the altcoins to drop as well.

Technically, you knew from my analyses that the BTC/USD could drop deeper despite its temporary rebound. Personally, I've mentioned the flag pattern and about a new sell-off. The price registered an aggressive drop, so a minor rebound could be natural.

It has found support on the median line (ml) and now it has tested and retested the weekly S1 (22,471).

The former low of 22,000 stands as a downside obstacle. A new lower low and a valid breakdown below the median line (ml) activates more declines and brings new short opportunities.