Bitcoin Price Could Attempt to Recover Lost Ground But Faces Numerous Obstacles
Bitcoin price is currently consolidating above the $64,000 level. While there is a possibility of a recovery, BTC must overcome several hurdles, including resistance at $65,650.
Bitcoin recently experienced a minor upward movement above the $65,000 level, but it is still trading below $65,500 and the 100 hourly Simple Moving Average. On the hourly chart of the BTC/USD pair, a short-term contracting triangle is forming with resistance at $65,400.
Although the price managed to climb above the 23.6% Fibonacci retracement level, the bears remain active around the $65,500 zone. Additionally, Bitcoin is currently trading below the 100 hourly Simple Moving Average, which adds to the resistance.
To initiate a recovery wave, Bitcoin must clear the $65,400 and $65,650 resistance levels. The first major obstacle on the upside would be at $65,650, or the 50% Fibonacci retracement level. If the price surpasses this level, it could potentially rise to test the $66,000 and $66,550 resistance levels. Any further gains might push BTC towards the $67,500 resistance in the near future.
However, if Bitcoin fails to surpass the $65,650 resistance zone, it could experience another decline. The immediate support on the downside is around the $64,850 level, followed by major support at $64,400. If the price continues to decline, it may test the $64,000 and $63,200 support levels.
As for the technical indicators, the MACD is currently in the bearish zone but losing momentum, while the RSI for BTC/USD is above the 50 level.
In summary, Bitcoin’s recovery is uncertain as it faces several obstacles. Traders will be closely watching how it performs against these resistance levels to determine the direction of the next significant move.