Bitcoin (BTC) is trading at $61,150 after a low of $58,895, signaling a slight recovery.
Bitcoin hit an intraday high of $61,437 but is struggling to maintain momentum above $61,300.
The Bitcoin (BTC) price continued to dip, reaching as low as $58,895 before making an attempt to recover. At the time of writing, BTC is trading at $61,317 with a market cap of $1.21 trillion. The intraday high reached $61,437, but Bitcoin is finding it difficult to push above the $61,300 mark.
Despite a slight uptick in daily trading volume, which rose by 8% to $30.59 billion, Bitcoin is struggling to initiate a fresh upward trend. A recent low of $58,895 indicates that the price is consolidating losses. However, BTC saw a minor recovery above $61,200, breaking through the 23.6% Fibonacci retracement level from the earlier dip.
The recent drop in BTC’s price intensified after the latest US Consumer Price Index (CPI) data showed inflation at 0.2% in September, exceeding market expectations. This unexpectedly high inflation has created concerns in the market, likely contributing to Bitcoin’s fall below $60,000. Will Bitcoin continue to decline, or will it start to rise again?
Bitcoin’s Path: Key Resistance and Support Analysis
The immediate resistance stands at $61,750. If Bitcoin manages to break above this point, the cryptocurrency could see a push toward $62,000. A successful close above this level could pave the way for further gains, potentially allowing the price to test the $62,800. Further gains might drive the price to test the $63,500 level or even $64,000 in the coming days.
However, technical indicators are showing signs of struggle. The 4-hour MACD is losing strength in the bearish zone, and the RSI is sitting below 50, indicating a lack of buying pressure.
If Bitcoin fails to overcome the $61,800 resistance zone, it might trigger another decline, with immediate support found at $59,400. Major support levels are at $58,750 and $58,500, and any further losses could see Bitcoin heading towards the $57,000 support level in the near term.
