Bitcoin, after breaking past the $66,000 mark, is experiencing a correction, sliding below the $65,500 threshold and potentially heading toward $64,000. The cryptocurrency had previously found support around $63,250 and rallied above $65,500, even briefly surpassing $66,000 with a high of $66,452. However, this increase was followed by a retracement, dipping below the 23.6% Fibonacci retracement level derived from its ascension from the $62,672 low to the recent high.
A significant downturn occurred when Bitcoin dropped below a short-term bullish trend line with support at $65,750. Currently, it’s trading under $65,500 and beneath the 100-hour simple moving average. The $64,500 zone is now a critical area that bulls are striving to defend. Should Bitcoin surge again, it will likely encounter resistance around $65,250 and subsequently at $65,500. Surpassing these levels might propel the price back to test the $66,500 resistance, and potentially drive it higher towards $68,000 if a strong breakout occurs.
Conversely, failure to breach the $65,500 resistance could result in further declines. Immediate support is found near $64,200, aligned with the 61.8% Fibonacci retracement level of the noted upward move. The primary support lies around $64,000, followed by $63,500, and continued losses may push the price towards the significant support level of $62,650.
Technical indicators display a bearish trend, with the hourly MACD gaining momentum in the negative zone and the RSI for BTC/USD falling below the 50 mark. Critical support levels are identified at $64,200 and $64,000, while major resistance is anticipated at $65,250 and $65,500.
