Bitcoin Price Hit By Rejection: Will Bulls Stumble Once More?

Bitcoin’s price has been hit by rejection at the $59,500 level, raising concerns about whether bulls will stumble once more. The cryptocurrency is currently moving lower and is at risk of further downsides towards the $56,000 level.

Bitcoin started another decline after encountering resistance at $59,475. The price is currently trading above $57,200 and the 100 hourly Simple Moving Average. However, there was a break below a key bullish trend line with support at $57,900, indicating potential bearish pressure. If the price fails to stay above the $57,200 support, it could initiate another major decline.

The bears have remained active near the $59,500 resistance zone, leading to a correction of gains. Bitcoin tested the 50% Fibonacci retracement level of the upward move from the $54,955 swing low to the $59,474 high. Additionally, it broke below the key bullish trend line mentioned earlier.

Despite these developments, the bulls seem to be active above the $57,200 level, and the price is currently trading above the 100 hourly Simple Moving Average. Immediate resistance levels are at $58,400 and $58,800, with a clear move above the latter potentially leading to a decent increase. The next significant resistance levels are $59,500 and $60,000, which could propel the price higher. If Bitcoin manages to close above the $60,000 resistance, it might begin a steady increase and test the $62,500 resistance level.

However, if Bitcoin fails to surpass the $58,400 resistance zone, it could trigger another decline. Immediate support is near the $57,200 level, followed by the first major support at $56,000 and the 76.4% Fibonacci retracement level. Further losses might bring the price closer to the $55,000 and $53,500 support zones in the near term.

In terms of technical indicators, the MACD is losing pace in the bullish zone on the hourly chart, while the RSI for BTC/USD is above the 50 level.

Overall, the rejection at $59,500 has posed a challenge for Bitcoin’s price, and further downside risks exist. Bulls will need to remain vigilant to prevent another stumble in the market.