Bitcoin expansion correction, why the bulls may take a step back


Bitcoin prices began to correct downward, and the exchange rate against the U.S. dollar was below $66,000. BTC may extend its downward correction to $62,000 in the short term.

  • Bitcoin started a downward correction below 66,000 USD and 65,000 USD.
  • The price is now below $65,000 and the 100-hour simple moving average.
  • On the hourly chart of the BTC/USD currency pair (data feed from Kraken), it broke below the main bullish trend line, and the support was near $66,500.
  • The currency pair may continue to fall to the support level of $62,000.

Bitcoin price corrected lower

Bitcoin price failed to exceed 66,000 USD resistance zoneAs a result, BTC showed a bearish reaction below the support level of $65,500.

Significantly fell below the support level of $65,000, 100 hour simple moving averageIn addition, on the hourly chart of the BTC/USD currency pair, it fell below the main bullish trend line, and the support level was near $66,500.

The currency pair rose below the support level of $65,000, and the price fell to $63,000. A low was formed near $62,700, and the price is now consolidating losses. There has been a wave of recovery above the 23.6% Fibonacci retracement level from the recent swing high of $68,991 to a low of $62,700.

On the bright side, the immediate resistance is near $64,800. The first major resistance is near the 65,000 USD and the 100-hour moving average. The main resistance is currently around $65,800.

Source: BTCUSD on TradingView.com

It is close to the 50% Fibonacci retracement of the recent decline, falling from a swing high of $68,991 to a low of $62,700. A clear break of the resistance level of $65,800 may open the door for new gains. The next major resistance is near the $67,500 level.

BTC loses more?

If Bitcoin fails to break the resistance zone of $65,000, it may continue its downward correction. The immediate downside support is near $63,500.

The first major support level is now formed near $63,000. The next major support is near the $62,500 level. Below this level, the price may not even be able to stay above the $62,000 support zone.

Technical index:

Hourly MACD – The MACD is now accelerating in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

The main support level is $63,500, followed by $62,500.

The main resistance levels – 65,000 USD, 65,800 USD and 66,500 USD.



Source link

You May Also Like

Leave a Reply

Your email address will not be published. Required fields are marked *