Bitcoin’s price initiated a new downtrend after encountering resistance around the $62,000 zone. BTC is currently on a decline and faces the possibility of further losses below the $60,000 mark.
Breakdown in Bitcoin Price Signals
The price of bitcoin began to rise after finding support at $60,250. Bitcoin was managed to bounce back above the level of the 23.6% Fib retracement of the decline from the swing high of $63,217 to the low of $60,250.
Bears were active, though, in the vicinity of the $61,800 resistance level. They stood at the 50% Fib retracement level of the decline from the swing high of $63,217 to the low of $60,250. A new bearish response was seen below the $61,200 support level.
On the hourly chart of the BTC/USD pair, there was a breach below a bearish flag pattern with support close to $60,950. The 100 hourly Simple moving average and $61,000 are currently being traded below by bitcoin.
Direct resistance is located close to $61,200. The 100 hourly Simple moving average, or $62,000, may be the first significant point of resistance. $62,500 might be the next significant barrier. The price could rise if there is a clear break above the $62,500 barrier level.
At $63,500, the key resistance is currently found. The price may rise further if there is a closing above the resistance zone of $63,500. In the example given, the cost might increase to about $75,000.
More Drawbacks for Bitcoin?
Bitcoin may keep falling if it is unable to rise above the $61,200 barrier level. The $60,500 mark provides immediate support on the downside.
Sixty thousand is the first substantial support. The price may begin to decline toward $58,500 if the close is less than $60,000. In the short term, pricing may move toward the $56,650 support zone if there are any additional losses.
May 2024, Cryptoniteuae
