Bitcoin Faces Resistance Near $62,000
Bitcoin recently faced selling pressure near the $62,000 level, leading to a fresh decline in its price. The digital asset is currently trading below $61,000 and the 100-hourly Simple Moving Average, indicating a short-term bearish outlook for the cryptocurrency. A breakdown analysis of Bitcoin’s price movement reveals key support and resistance levels that traders should watch out for.
Bitcoin Price Support and Recovery
After finding support near the $60,250 zone, Bitcoin initiated a recovery wave. The cryptocurrency managed to climb above the 23.6% Fibonacci retracement level of the recent downward move from the $63,217 swing high to the $60,250 low. However, the bulls faced resistance near the $61,800 level, preventing a sustained upside momentum.
- The downward pressure intensified as Bitcoin broke below a bearish flag pattern with support near $60,950 on the hourly chart of BTC/USD, confirming a short-term bearish trend.
- Bitcoin’s price is currently trading below the critical $61,200 support zone and the 100-hourly Simple Moving Average, suggesting further downside potential.
Potential Price Movement for Bitcoin
Bitcoin’s immediate resistance is near the $61,200 level, with the first major resistance seen around $62,000 or the 100-hourly SMA. If buyers manage to push the price above $62,000, the next key resistance level to watch out for is $62,500, which could pave the way for a bullish continuation.
In contrast, a failure to surpass the $61,200 resistance zone could lead to additional selling pressure, pushing the price lower towards key support levels.
- If Bitcoin breaks below $60,000, it may trigger a bearish trend with the price potentially dropping towards $58,500 and eventually testing the $56,650 support area.
- The MACD is now gaining momentum in the bearish zone, signaling a possible continuation of the downside move, while the RSI for BTC/USD is currently below the 50 level, indicating a bearish sentiment among traders.
Key Levels to Watch
Traders should keep an eye on the following support and resistance levels for Bitcoin:
- Major Support Levels: $60,500, followed by $60,000.
- Major Resistance Levels: $61,200, $62,200, and $62,500.
Bitcoin Price Prediction
Bitcoin’s price movement suggests a struggle near the $62,000 resistance level, with the potential for further downside if key support levels are breached. Traders should closely monitor the price action to identify possible entry and exit points based on the evolving market conditions.
Source: BTCUSD on TradingView.com
Hot Take: Stay Alert for Bitcoin’s Next Moves
As Bitcoin faces resistance near $62,000, traders need to remain vigilant for potential price swings and trend reversals in the cryptocurrency market. Stay informed about the latest developments and monitor key support and resistance levels to make informed trading decisions in the volatile crypto space.
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