Bitcoin price started a recovery wave from the $55,600 zone. BTC is now struggling to clear the $58,500 resistance and might decline again.
Bitcoin is struggling to recover above the $58,500 zone. The price is trading below $58,200 and the 100 hourly Simple moving average. There is a connecting bullish trend line forming with support at $57,250 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair could struggle to recover above the $58,500 or $58,750 resistance levels in the near term.
Bitcoin Price Faces Hurdles
Bitcoin price extended losses below the $57,200 support level. BTC even traded below the $57,000 support. A low was formed at $55,591 and the price recently started a recovery wave.
There was a move above the $56,500 and $57,000 resistance levels. It cleared the 50% Fib retracement level of the downward move from the $59,772 swing high to the $55,591 low. The price even cleared the $58,000 level but faced sellers near $58,500.
Bitcoin is now trading below $58,200 and the 100 hourly Simple moving average. There is also a connecting bullish trend line forming with support at $57,250 on the hourly chart of the BTC/USD pair.
On the upside, the price could face resistance near the $58,500 level. The first key resistance is near the $58,750 level or the 76.4% Fib retracement level of the downward move from the $59,772 swing high to the $55,591 low. A clear move above the $58,750 resistance might send the price further higher in the coming sessions.
The next key resistance could be $59,500. A close above the $59,500 resistance might spark more upsides. In the stated case, the price could rise and test the $60,000 resistance.
Another Decline In BTC?
If Bitcoin fails to rise above the $58,500 resistance zone, it could start another decline. Immediate support on the downside is near the $57,250 level and the trend line.
The first major support is $56,850. The next support is now near the $56,200 zone. Any more losses might send the price toward the $55,500 support in the near term.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now near the 50 level.
Major Support Levels – $57,250, followed by $56,850.
Major Resistance Levels – $58,500, and $58,750.
Conclusion
In conclusion, the price of Bitcoin is currently facing resistance near the $58,500 level and may struggle to rise further in the short term. With key support levels at $57,250 and $56,850, any further decline could lead to a test of the $55,500 support.
Technical indicators, such as the MACD and RSI, suggest a mixed outlook for Bitcoin’s price movement. While a close above $59,500 could lead to more upside potential, failure to break above $58,500 may result in another decline.
Traders and investors should keep a close eye on these key levels and indicators to make informed decisions about their Bitcoin holdings in the coming days. Stay tuned to DeFi Daily News for more updates on Bitcoin and other trending news articles in the cryptocurrency space.
