Bitcoin has demonstrated renewed strength, managing to rise above the critical resistance level of $58,500. Currently trading above $60,000, the cryptocurrency is encountering difficulties in maintaining its upward momentum following a recent correction from a peak near $61,300.
After establishing a solid footing above $57,500, Bitcoin initiated a rally that propelled it past the $58,500 threshold. The price briefly tested the resistance level of $61,200 before beginning to retrace some of its gains. Currently, Bitcoin is valued above $59,500 and remains above the significant 100-hour Simple Moving Average. However, resistance is evident at approximately $60,500, where a bearish trend line is forming.
For the price to potentially shift into a steady upward trajectory, it must clear the initial resistance level at $60,650. A decisive breakthrough above this point may encourage further gains, with the next significant resistance level identified at $61,200. Should Bitcoin manage to close above this resistance zone, an ascent toward $62,500 could be on the horizon.
Conversely, if Bitcoin struggles to surpass the $60,500 resistance, it could face a downward trend. Immediate support appears to lie around the $60,000 mark, with major support levels at $59,750 and $59,400, where the 100-hour Simple Moving Average and the 50% Fibonacci retracement level converge. Continued losses for Bitcoin may lead it down to the support level at $58,450 in the near term.
Technical indicators reveal that while the MACD is losing momentum, the Relative Strength Index (RSI) remains above the neutral 50 level, suggesting a cautious outlook for future price movements.
