Bitcoin continues to face downward pressure, with prices even dipping below $60,000. On the daily chart, BTC/USD is following a significant bearish trend line with resistance at $62,650. It is likely that the price could drop further towards $56,500 before the bulls regain control.
In previous analysis, we discussed the possibility of Bitcoin’s price continuing to decline if the bulls fail to protect the $64,300 support zone. Unfortunately, the bears remained active and pushed the price below key support levels at $64,300 and $63,500. The price even fell below $61,200 and $60,000, hitting a new monthly low at $58,555. However, the price has since entered a consolidation phase and experienced a minor increase above the $60,000 level.
Currently, Bitcoin’s price is displaying bearish signals below the $62,000 zone and the 50-day simple moving average. Additionally, it is following a significant bearish trend line with resistance at $62,650 on the daily chart. If the bears continue to exert pressure below the trend line resistance, the price may experience further losses. Immediate support lies near the $60,150 level, with the first major support at $58,500.
If the price breaks below the $58,500 support zone, it could trigger more bearish movements. In this scenario, the price may decline towards the $56,500 support level. Further losses could potentially open the door for a move towards the $52,800 support zone in the coming days.
Conversely, Bitcoin has the potential to stay above $60,000 and make a recovery attempt. Immediate resistance lies at the $62,650 zone and the trend line. A close above the trend line resistance could push the price towards the $65,000 resistance zone. The first major resistance above $65,000 is near the $67,000 zone and the 50-day simple moving average. A successful break of the $67,000 resistance could initiate a fresh uptrend.
The next significant resistance level is at $68,800, and a breakthrough at this level could generate bullish momentum. In this case, the bulls may even aim for the $72,000 region. Further gains could potentially push the price towards the $75,000 region and a new all-time high.
In summary, Bitcoin is currently displaying bearish signs below $62,650 and the 50-day SMA. The price is at risk of experiencing further losses below the $60,000 and $58,500 support levels in the coming days.
