Bitcoin price gained bearish momentum and traded below $60,000. BTC is signaling a near-term downtrend and could face a hurdle near $62,000.
- Bitcoin began a new decline near the $62,550 resistance level.
- The price is trading below $61,500 and the 100-hour simple moving average.
- The hourly chart of the BTC/USD pair (data feed from Kraken) shows a major bearish trendline forming at resistance $62,400.
- The pair may correct higher, but the upside may be limited above the $62,000 resistance zone.
Bitcoin price plummets
Bitcoin price failed to recover above the $63,500 level. BTC struggled above $63,000 and began another downtrend. There was a significant decline below the $62,000 and $61,500 levels.
The price also fell below the $60,000 mark. The low was formed at $58,448 and the price is currently correcting losses. It increased slightly above the $59,800 level. The price broke above the 23.6% Fib retracement level of the downward move from the $64,460 swing high to the $58,448 low.
Bitcoin price is currently trading below $61,500 and the 100-hour simple moving average. If a recovery emerges, the price may face resistance near $61,500.
The first major resistance could be the 50% Fib retracement level of $62,150 or a downward move from the $64,460 swing high to the $58,448 low. The next major resistance could be $62,500. The hourly chart of the BTC/USD pair also has a major bearish trendline forming resistance at $62,400.
A clear break above the $62,500 resistance could mark the beginning of a steady rise and push the price higher. If indicated, the price could move higher to test the $63,500 resistance. Further gains could push BTC towards the $65,000 resistance in the near term.
Another drop in BTC?
If Bitcoin fails to rise above the $62,500 resistance zone, it may continue to fall. Immediate support for the downside is near the $61,200 level.
The first major grant is $60,000. The next support is currently forming near $58,500. More losses could push the price towards the $57,000 support area in the near term.
Technical indicators:
Hourly MACD – MACD is currently gaining speed in a bear market.
Hourly Relative Strength Index (RSI) – The RSI for BTC/USD is now below the 50 level.
Key support levels – $61,200, $60,000.
Key resistance levels – $62,150 and $62,500.