Bitcoin Price Plunges to $66K Amid Growing Bearish Sentiment, $64K Support Level May Be Tested Next
Bitcoin’s price experienced a significant decline as bears took control of the market, pushing the cryptocurrency below the crucial $67,500 support level. The downward momentum gained further strength after failing to break above the resistance zone around $70,000.
The price dropped sharply, breaking below $68,500 and the 100 hourly Simple Moving Average. On the hourly chart, a bearish trend line is forming with resistance near $68,400, which adds to the selling pressure. If the current trend continues, there is a possibility that the price could further decline towards the $64,000 support area in the near future.
Bitcoin’s struggle to sustain above the $70,000 resistance zone led to a reaction on the downside, with the price breaking below the $69,200 support level. It even tested the $66,000 mark before initiating a minor recovery. However, the price failed to regain strength above $68,500 and the 100 hourly SMA.
Immediate resistance is expected near the $68,000 level, followed by the trend line and the 50% Fibonacci retracement level of the downward move from the swing high at $69,884 to the low at $65,992. A decisive move above the $68,500 resistance zone could potentially fuel a fresh upward movement, with the next major resistance lying near the $70,000 and $71,500 levels.
On the other hand, if the Bitcoin price fails to break above the $68,000 resistance zone, it may continue to face selling pressure. The immediate support lies around $66,000, followed by a major support level at $65,000. Breaking below $64,000 could trigger a further drop towards $62,500, and any additional losses may push the price towards the $60,500 support area in the near term.
Technical indicators suggest a bearish outlook for Bitcoin, with the MACD gaining momentum in the bearish zone and the RSI falling below the 50 level.
This analysis serves for educational purposes only and does not constitute financial advice. It is crucial to conduct thorough research and assessment before making any investment decisions, as investing always carries inherent risks.