In recent days, the cryptocurrency market has been quite volatile. Especially Bitcoin, which has experienced a shakeup by dropping below $60,000. If BTC closes below the critical support area of $60,000 for a day, it could gain downward momentum. The recent drop was influenced by a court decision regarding CZ. Today, the market awaits the FED’s interest rate decision.
Bitcoin Price Struggles Above $60,200
Cryptocurrency Bitcoin started trading below the $61,200 region. Currently, the price is below $62,000 and the 100-hour Simple Moving Average. On the hourly chart of BTC/USD, a downward trend line is forming at the $60,400 resistance. This week, if the pair cannot surpass $60,400 and then $62,000, it could fall further.
Bitcoin price began to decline below the $62,500 support level, and bears took control. The cryptocurrency BTC also fell below the $61,200 level, dropping below $60,000. However, a low of $59,191 was formed, and the price is currently consolidating losses.
Critical Resistance Level
There was a slight increase in the price above the $60,000 level. The flagship of cryptocurrencies, Bitcoin is currently trading around $60,200 and is below the 100-hour Simple Moving Average. The immediate resistance is near the $60,400 level.
For the price to rise, a clear move above the $62,000 resistance level is necessary. In this case, the next resistance level of $62,500 could be targeted. If a strong move above the $62,500 resistance is seen, the likelihood of the price continuing to rise could increase. In this scenario, the price is expected to move towards $64,000.
If BTC Loses Critical Support
Bitcoin’s inability to break above the $60,400 resistance zone is catching the attention of many analysts and signaling a potential downward movement. Currently, the BTC/USD pair is trading close to the $59,500 instant support level. However, if a break below this level occurs, the price could fall further.
Looking at technical analyses, the hourly MACD indicator is gaining speed in the bearish zone. This situation indicates that selling pressure is increasing and the price could gain downward momentum. Similarly, the hourly RSI (Relative Strength Index) for BTC/USD is trading below the 50 level, indicating that bears have taken control.
