Bitcoin price recently faced a downside correction after struggling to break above the $70,000 resistance level. The digital currency started trading below $68,500 and the 100 hourly Simple Moving Average. This correction has raised concerns among traders and investors regarding the future price movement of Bitcoin.
One of the key factors contributing to the downside correction in Bitcoin price was the failure to stay near the $70,000 resistance zone. This led to a move below the $68,500 and $68,000 support levels. Additionally, there was a break below a key bullish trend line with support at $68,620. The inability to hold above these crucial levels has resulted in a bearish sentiment in the market.
Bitcoin price is currently consolidating losses near the $66,000 support zone. If the price fails to stay above this level, it might extend its losses further. The immediate support on the downside is near $65,500, followed by $65,000. Any additional losses could trigger a decline towards the $63,500 support zone in the near term. On the upside, the price could face resistance near the $67,000 level. The key resistance levels to watch out for include $67,200, $68,000, and $68,500.
When we analyze the technical indicators for Bitcoin price, we observe that the hourly MACD is gaining pace in the bearish zone. This indicates a negative sentiment among traders. The hourly RSI for BTC/USD is now below the 50 level, suggesting a downward trend in price. These technical indicators provide valuable insights into the current market sentiment surrounding Bitcoin.
The recent downside correction in Bitcoin price has raised concerns among traders and investors. The failure to break above the $70,000 resistance level has led to a bearish sentiment in the market. It is crucial for Bitcoin to hold above key support levels in order to avoid further losses. Traders should closely monitor the technical indicators and key resistance levels to gauge the potential price movement of Bitcoin in the coming sessions.