BitcoinBTCbtcusdBTCUSDTxbtusd

TA: Bitcoin Trims Gains, Here’s Why The Bulls Could Struggle Near $57K

Bitcoin price failed to continue higher towards $60,000 against the US Dollar. BTC declined sharply and tested the $54,500 support zone, where the bulls took a stand.

  • Bitcoin failed to extend gains and it formed a short-term top near the $59,000 level.
  • The price is now trading well below the $57,000 level and the 100 hourly simple moving average.
  • There was a break below a major bullish trend line with support near $57,300 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could correct losses, but the bulls might face sellers near $57,000 and $57,400.

Bitcoin Price Corrects 4%

Bitcoin attempted more upsides above the $58,500 resistance level. BTC tested the $59,000 zone, but it failed to continue higher. A high was formed near $59,028 before it started a downward move.

The price broke the $58,000 and $57,000 support levels. There was a break below a major bullish trend line with support near $57,300 on the hourly chart of the BTC/USD pair. There was also a spike below the $55,000 support level.

It is now trading well below the $57,000 level and the 100 hourly simple moving average. A low is formed near $54,665 and the price is now attempting a recovery. Bitcoin broke the $55,500 resistance level. There was a break above the 23.6% Fib retracement level of the recent decline from the $59,028 high to $54,665 low.

Source: BTCUSD on TradingView.com

On the upside, an initial resistance is near the $56,800 level and the 100 hourly simple moving average. The 50% Fib retracement level of the recent decline from the $59,028 high to $54,665 low is also near $56,800.

The main resistance is now forming near the $57,000 zone. A successful break above the $56,800 and $57,000 resistance levels could open the doors for a fresh move towards the $59,000 level.

More Losses in BTC?

If bitcoin fails to clear the $56,800 resistance, it could correct lower once again. An initial support on the downside is near the $55,000 level.

The first key support is near the $54,500 level and the recent low. A downside break below the $54,500 support might call for a drop towards the $52,000 support zone.

Technical indicators:

Hourly MACD – The MACD is slowly recovering and losing pace in the bearish zone.

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

Major Support Levels – $55,000, followed by $54,500.

Major Resistance Levels – $56,800, $57,000 and $58,500.

Originally published on News BTC

Related posts
BitcoinBitcoin ATMBTCBuy Bitcoinbuy cryptobuy cryptocurrenciesCoinmecrypto ATMMoneyGram

MoneyGram to allow retail Bitcoin buying in the US

MoneyGram customers in the United States will soon be able to buy Bitcoin in the country’s retail outlets across the country. Crypto adoption among mainstream payment service companies continues to grow with MoneyGram set to join the list. In a…
BitcoinBitcoin NewsbtcusdBTCUSDCBTCUSDTFacebookMark ZuckerbergNewsxbtusd

Facebook’s Mark Zuckerberg Might Have Just Made A Grand Entrance Into The Bitcoin Market

The CEO of Facebook might have just dropped subtle hints on his “Bitcoin holdings.” In a post that has left the cryptocurrency space confused, for the most part, Zuckerberg posted a picture of two of his goats, named Max and…
BitcoinbtcusdBTCUSDT

NYDIG Hires Bridgewater CFO In Drive To Bring Bitcoin To Banks

Bitcoin custody firm NYDIG has appointed John Dalby as its new CFO. Dalby spent almost three years at the world’s largest hedge fund, Bridgewater Associates. Commenting on his new role, he said: “The growth of NYDIG has been incredible. Every…