Bitcoin Price Extends Losses — Is More Downside on the Horizon?
Bitcoin’s price is facing a notable decline, now trading below the crucial $107,500 mark. Current consolidation shows tests around $104,600. The cryptocurrency is vulnerable to more losses without a recovery past key resistance levels. Immediate support is positioned at $104,000 with bearish indicators suggesting further downside could be possible.
Bitcoin has started to see some serious declines recently, diving below the $107,500 support zone and even falling below $105,600. Now, it has tested the $104,600 area where the price seems at a critical point of consolidation. It’s still trading below the 100-hourly Simple Moving Average, which isn’t a good sign for short-term buyers. At present, there’s a bearish trend line forming with resistance sitting at $107,550 on the BTC/USD hourly chart.
After this prolonged drop, a low was recorded at $104,604, sparking a struggle for the cryptocurrency to recover. A recent upward movement took Bitcoin past the $105,200 mark, but it’s still facing hurdles. Notably, it hasn’t quite managed to breach the 23.6% Fibonacci retracement level of the decline from the earlier high of $110,500 down to the $104,604 low. Currently, we see Bitcoin sticking below $107,000, and just a push above that might signal a lite recovery—if it can hold.
Resistance remains a significant challenge for BTC, with immediate hurdles at $106,000 and then the key level at $107,500. If somehow Bitcoin can manage to close above that, it might open the door to gains, possibly leading it towards the $108,000 mark, and if lucky, even up to $110,000.
But not all is rosy. If Bitcoin fails to overcome the $107,500 level, another drop could be imminent. Immediate support is lurking just above at $104,500. A more critical_support lies at $104,000, while further down at $103,200 could pose trouble. If the downtrend continues, the price might even dive down to the $102,500 area, and significantly below the main support level at $101,200 where bearish sentiment could really take hold.
Looking at technical indicators, the hourly MACD is making a case for bearish momentum, gaining traction in its downwards path. The Relative Strength Index (RSI) is currently below the 50 mark for BTC/USD, further complicating any bullish arguments. To summarise, major support levels are at $104,000 and $103,200, while Bitcoin’s significant resistance levels remain at $106,000 and $107,000. If you’re trading, keep a close watch on these levels as they’ll likely dictate BTC’s next moves.
Post Comment