Bitcoin price started a downside correction from the $65,000 resistance zone. BTC could retest $61,750 before a fresh increase in the near term.
- Bitcoin failed to overcome the $65,000 resistance zone and corrected gains.
- The price is trading below $63,500 and the 100 hourly moving average.
- There was a break below a key bullish trend line with support at $63,400 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- Before the bulls emerge, the pair could slide further towards $61,750.
Bitcoin price shrinks gains
Bitcoin price attempted to rise further above the $65,000 resistance zone. However, the bears were active and secured further gains. A high was formed near $64,950 and the price is now correcting gains.
There was a decline below the $64,000 level. The price traded below the 23.6% Fib retracement level of the upward wave from the $58,572 swing low to $64,950 high. Also, there was a break below a key bullish trend line with support at $63,400 on the hourly chart of the BTC/USD pair.
Bitcoin is currently trading below $63,500 and the 100 hourly moving average. The current price action suggests that the price could continue to decline towards the $61,750 support zone. It is close to the 50% Fib retracement level of the upward wave from the $58,572 swing low to $64,950 high.
On the upside, the price might face resistance near the $63,500 level. The first key resistance is near the $64,000 level. A clear break above the $64,000 resistance level could propel the price further higher in the coming sessions. The next key resistance could be near the $65,000 level.
A close above the $65,000 resistance level could trigger further upside moves. In the said case, the price could rise and test the $66,500 resistance level.
Other disadvantages of BTC?
If Bitcoin fails to clear the $63,500 resistance zone, the downtrend could continue. The immediate support on the downside is near the $62,500 level.
The first key support is near the $62,200 level. The next support is now near the $61,750 zone. Any further losses could push the price towards the $60,000 support in the near term.
Technical indicators:
Hourly MACD – The MACD is now gaining momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Key Support Levels – $62,200, followed by $61,750.
Key Resistance Levels – $63,500 and $64,000.
