- Bitcoin price is experiencing downward pressure after failing to breach the $66,500 resistance mark.
- Currently trading below the $65,500 level, BTC might drop further if it slips past the critical support at $64,600.
- “The latest breakdown saw Bitcoin dip below a key bullish trend line, indicating a possible continuation of the bearish trend,” according to market analysts.
Bitcoin faces resistance again at key levels, could see further declines below crucial support zones.
Bitcoin Price Encounters Major Rejection
Bitcoin’s price initiated a brief recovery, climbing above $65,000 and touching highs close to $66,500. However, sellers dominated the market near the $66,500 threshold, driving the price downward once more. Following a high at $66,444, Bitcoin began its descent again.
The price fell below the $65,500 and $65,400 support levels, breaching the 50% Fibonacci retracement of its earlier upward move from a $64,050 low to $66,444 high. The breakdown included a fall below a connecting bullish trend line with $65,250 support on the BTC/USD hourly chart.
Eventually, Bitcoin reached the $64,600 support zone and touched the 76.4% Fibonacci retracement level of its earlier upswing from $64,050 to $66,444.
Further Downtrend Looms for Bitcoin?
Bitcoin’s trading pattern remains concerning as it hovers below $65,500 and the 100-hourly Simple Moving Average (SMA). An upward move would face resistance at $65,250 initially, followed by significant resistance markers at $65,500 and $66,000.
If Bitcoin breaches the $66,000 resistance, we could anticipate a steady climb, potentially testing $66,500. Subsequent gains might propel the cryptocurrency towards $67,500 in the short term.
Bearish Signals Intensify
Should Bitcoin fail to surpass the $65,250 resistance, a further decline appears inevitable. Immediate support lies at $64,600, with a major support zone forming at $64,200. Continuous losses might drive Bitcoin towards the $63,200 level shortly.
Technical indicators also suggest a prolonged bearish phase. The Hourly MACD is declining within bearish territory, and the Hourly RSI (Relative Strength Index) has dipped below 50. Key support levels are seen at $64,600 and $64,000, while resistance levels stand at $65,250 and $66,500.
Conclusion
Bitcoin’s struggle to overcome the $66,500 resistance has triggered a renewed bearish trend, emphasizing vulnerabilities at various support levels. Traders should closely monitor the $64,600 support zone and hope for a decisive move above $66,000 to counteract the current bearish momentum.
