Key Takeaways:
Bitcoin gained bullish momentum after the Fed surprised with a 0.50% rate cut.
BTC/USD cleared a connecting bearish trend line with resistance at $60,800 on the daily chart.
The price still faced many hurdles near $63,500, $65,000, and $68,000.
Bitcoin price is showing positive signs above $60,000. BTC might climb higher, but it faces an uphill task near $65,000 and $68,000.
Bitcoin Price Upside Could Soon Fade
In the past few days, Bitcoin price saw a decent upward move above the $58,000 resistance zone. Recently, it struggled to settle above the $60,000 resistance zone. However, yesterday’s rate cut of 50 bps by the Fed sparked an upside break.
Federal Open Market Committee statement: https://t.co/WdWoB5Wf7M #FOMC
— Federal Reserve (@federalreserve) September 18, 2024
BTC cleared a connecting bearish trend line with resistance at $60,800 on the daily chart. The price surpassed the 61.8% Fib retracement level of the downward wave from the $65,200 swing high to the $52,756 low.
Bitcoin price daily chart | Source: BTC/USD on TradingView.com
Bitcoin price is now showing positive signs above the $60,000 pivot level and the 50-day simple moving average (blue). Immediate resistance on the upside sits near the $62,250 level. It is close to the 76.4% Fib retracement level of the downward wave from the $65,200 swing high to the $52,756 low.
The first major resistance is seen near the $65,000 swing high. To continue higher, BTC price must settle above the $65,200 resistance zone. In the stated case, the bulls might target a test of the main hurdle at $68,000.
There is also a crucial declining channel with resistance near $68,200 on the same chart. It coincides with the 1.236 Fib extension level of the downward wave from the $65,200 swing high to the $52,756 low. A close above the channel resistance could spark a fresh rally and sustained upward move.
BTC Faces Many Hurdles
Conversely, Bitcoin price might struggle near $62,250 or $65,200 and start another decline. Immediate support on the downside is near the $60,500 level. The first major support is near the $60,000 level.
A downside break below the $60,000 support zone could spark more bearish moves. In the stated case, the price might decline toward the 50-day simple moving average (blue) at $59,200. Any more losses could open the doors for a move toward the $55,500 support zone.
Overall, Bitcoin is showing positive signs above $60,000. Having said that, BTC could face heavy resistance near the $65,000 level in the coming days if it reaches there.
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