🔥Bitcoin Faces Resistance: Is a Sharp Drop in BTC Coming Soon?
BTC's upward momentum is stalling near significant resistance levels at $64,500 and $65,000. Despite a bullish trend line providing support at $62,800, BTC is finding it challenging to break through these barriers. With bears active around these resistance zones, could another decline be looming?
After finding support around the $56,500 mark, BTC began a steady climb, breaking above the $60,000 and $61,200 resistance levels. This move took BTC past $62,500, placing it above the 100 hourly Simple Moving Average, signaling positive market sentiment. Yet, attempts to cross the $64,500 and $65,000 thresholds have so far been met with resistance, indicating that the bears are holding firm.
If BTC can overcome the immediate resistance at $64,500 and $65,000, the next major resistance point is $65,500. A successful break above this level could propel BTC toward $66,800, with an ultimate target of $68,000 if the bullish momentum continues.
Downside Risks
However, if Bitcoin fails to push through these resistance levels, it risks retracing its recent gains. A break below the critical support point at $61,500 could trigger a larger decline, with the 61.8% Fibonacci retracement level of the upward move at $59,500. Further bearish pressure could lead BTC toward the $58,000 support zone, potentially signaling a more extended correction.
Technical indicators suggest a mixed outlook. The MACD is losing momentum in the bullish zone, while the RSI hovers around 50, indicating market indecision. These indicators could play a significant role in determining Bitcoin's short-term trajectory.
BTC's inability to break through critical resistance levels raises concerns about a potential price drop. If the bulls can't push BTC past $64,500 and $65,000, the market might see another decline. A break below the support levels at $62,800 and $61,500 could signal a deeper correction. On the upside, breaking through $65,500 could pave the way for a new rally, with the $66,800 level being the next major hurdle.
