Bitcoin price recently faced rejection near the $62,000 resistance level, leading to a fresh decline. With BTC now trading below $61,000 and the 100 hourly Simple Moving Average, there is a potential for further losses below the $60,000 mark. A bearish flag pattern was also broken with support near $60,950 on the BTC/USD hourly chart, indicating possible bearish momentum.
Although Bitcoin found some support near the $60,250 zone and attempted a recovery, it was met with resistance near $61,800. The bears defended the 50% Fib retracement level of the downward move from the $63,217 swing high to the $60,250 low, triggering another bearish reaction.
Immediate resistance levels to watch include $61,200 and $62,000, with the latter coinciding with the 100 hourly Simple Moving Average. A clear breach above the $62,500 resistance level could potentially lead to a higher price. On the other hand, the main resistance sits at $63,500, and a close above this level could indicate a continuation of the upward move towards $65,000.
However, if Bitcoin fails to surpass the $61,200 resistance level, it could continue its downward trajectory. Immediate support is seen near $60,500, followed by the critical level of $60,000. A close below $60,000 may trigger further downside movement towards $58,500, and potentially even the $56,650 support zone in the near term.
Technical indicators suggest a bearish sentiment, with the MACD gaining pace in the bearish zone and the RSI for BTC/USD falling below the 50 level.
Overall, the current market conditions indicate the possibility of a bearish continuation for Bitcoin, potentially leading to a drop below $60,000. Traders and investors should closely monitor key support and resistance levels for further insights into BTC’s price movement.