Bitcoin price extended losses below the $58,500 support zone. BTC is struggling and could continue falling towards the $55,000 support zone.
- Bitcoin is gaining pace below the $60,000 support zone.
- The price is trading below $59,000 and the 100 hourly simple moving average.
- There is a bearish trend line forming with resistance at $58,400 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could extend losses if it fails to stay above the $57,200 support.
Bitcoin price extends losses
Bitcoin price started a new decline and traded below the $60,000 support level. The bears managed to push the price below the $58,500 support levels. BTC even reached below $57,200.
A low was formed at $57,124 and the price is now consolidating losses. There was a small recovery wave, but the price remained well below the 23.6% Fibonacci retracement level of the recent decline from the $60,954 high to $57,124 low.
Bitcoin is now trading below $60,000 and the 100-hour simple moving average. There is also a bearish trend line forming with resistance at $58,400 on the hourly chart of the BTC/USD pair.
On the upside, the price could face resistance near the $58,000 level. The first key resistance is near the $58,400 level and the trendline. A clear move above the $58,400 resistance could push the price higher in the coming sessions.
The next key resistance could be $59,040 or the 50% Fibonacci retracement level of the recent decline from the $60,954 high to $57,124 low. A close above the $59,040 resistance could provide further upside. In this case, the price could move higher and test the $60,000 resistance.
More downsides to BTC?
If Bitcoin fails to climb above the $58,400 resistance zone, it could start another decline. The immediate support on the downside is near the $57,200 level.
The first major support is at $56,500. The next support is now near the $56,200 zone. Any more losses could send the price towards the $55,000 support in the near term.
Technical indicators:
Hourly MACD – The MACD is now gaining pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Key support levels – $57,200, followed by $56,500.
Key Resistance Levels – $58,000 and $58,400.