Bitcoin ’s price action has encountered resistance, failing to surpass the $60,650 level. As a result, the cryptocurrency is now undergoing a corrective phase, with potential declines anticipated towards the $57,500 support level.
After a significant rally that saw Bitcoin breach the $58,500 resistance, it managed to climb above the $59,500 barrier and even crossed the $60,000 level. However, selling pressure became apparent near the $60,650 region, where a peak was reached at $60,638. Following this point, Bitcoin ’s price dipped below $59,500 and fell past the 23.6% Fibonacci retracement level, which indicates a pullback from the recent gains made from the low of $55,548.
Currently, Bitcoin is trading below $58,800, and its 100-hourly simple moving average has shifted, reinforcing the bearish sentiment. If the price manages to maintain stability above the $57,500 level, there is a possibility for a resurgence. Resistance levels exist at $59,200, with $60,000 representing a key hurdle; surpassing this could encourage further upward momentum. Should the price break above $60,650, it may pave the way for a test of the $62,000 level.
Conversely, if the upward movement is hindered at $59,200, Bitcoin could face continued downward pressure. Immediate support is located around the $58,000 level, which coincides with the 50% Fibonacci retracement level, while critical support lies at $57,500. Should the cryptocurrency experience further declines, the next support level to watch will be $56,750, with a possible target of $55,550 in the near future.
Technical indicators currently reflect a bearish outlook, with the MACD indicating increased bearish momentum and the RSI falling below the neutral level of 50.
