The fickle game of cryptocurrency takes another dramatic turn as Bitcoin (BTC) witnessed a significant decline from its $70,000 resistance zone. The digital currency has slumped over 5%, dropping below the crucial $67,500 support level. The latest shuffle in the Bitcoin price structure suggests an emerging bearish momentum from the $70,000 resistance zone.
Currently, Bitcoin is grappling with a trading rate below $68,500, amid the cascading market trends. The 100 hourly Simple moving average has also taken a hit, further foreshadowing a potentially challenging market scenario for the cryptocurrency. A key bearish trend line establishing resistance near the $68,400 on the hourly chart of the BTC/USD pair spotlights the downward swing in Bitcoin’s trajectory, with data feed sourced from Kraken.
The odds are high that this market downturn could lead to an extended decline towards the $64,000 support zone in the near term, if current trends persist.
The uphill battle for Bitcoin began when the cryptocurrency struggled to hold its ground above the $70,000 resistance zone. Following a downfall through the $69,200 support zone, Bitcoin continued to sink beneath critical levels. A turbulent trajectory saw a sharp plunge below $68,500, and even a tumble below a pivotal $67,000 level.
Following an oscillating bearish angle, it bottomed out near $65,992, from where it has since been grappling to climb out of the downturn. A nominal recovery wave saw a slight uptick, crossing the $66,800 level after a tumultuous descent.
The rise even edged past the 23.6% Fibonacci retracement level of the downward move which originated from the swing high of $69,884 to the low of $65,992. Bitcoin, however, continues to face challenges, indicated by its current trading rate below $68,500 and the 100 hourly Simple moving average.
Immediate resistance is well established at around the $68,000 level, in proximity to the 50% Fibonacci retracement level of its downward trajectory from $69,884 high to $65,992 low. If the price manages a clear surge above the $68,500 resistance zone, Bitcoin could potentially embark on a fresh upward climb.
However, Bitcoin’s journey towards growth might encounter hindrances. If Bitcoin stumbles in surmounting the $68,000 resistance zone, it could continue its downward descent. Immediate support on the downside hovers near the $66,000 level with the first major support settled at $65,000, followed by a further support level stationed at $64,000. A closing blow below $64,000 could set off a plunge toward the $62,500 level. Extreme losses could potentially plunge the price to the $60,500 support zone in the near future.
Technical indicators point toward a turbulent landscape. The MACD is gaining pace in the bearish zone on an hourly basis. The RSI for BTC/USD is now positioned below the crucial 50 level, signalling adverse market conditions.
All eyes remain fixated on Bitcoin’s major support and resistance levels, stationed at $66,000 and $65,000, and $68,000, $68,500, and $70,000, respectively. This tumbling giant of the cryptocurrency world teeters on the edge, mere steps away from precipitous gains or devastating losses.
