Bitcoin struggles to break the $57.200 resistance level against the US Dollar. BTC’s decline is likely to accelerate if the price falls below $56,000.
- Bitcoin has struggled to rise above $57,000 and $57.500 levels.
- Today, the price trades below $57,000. The 100-hourly simple moving average is also lower.
- The hourly chart for the BTC/USD pair shows a contracting triangle with support close to $56,100. (Data feed from Kraken).
- If the pair breaks below $56,000, it could be accelerated lower.
Bitcoin Prices are in a bind
Bitcoin prices failed to rise significantly above the $58,000 resistance level. BTC began a gradual decline and broke the $57,000. support level in order to move into a bearish zone.
A close was seen below $57,000, as well as the 100-hourly simple moving average. But, bulls continue to defend their $56,000 support. This bitcoin low is near $55,848. Bitcoin has been consolidating losses higher than the $56,000 threshold.
The $56,600 mark is a strong resistance level for the upside. This is close to the 23.6% Fib level of the decline from the swing high at $59,090 to low at $55,848.
Near the $57,000 mark is the first major resistance. On the hourly chart for the BTC/USD pair, there is a contracting triangle that forms with support close to $57,000. Next is $57,000. This is near the Fib level for the decline of $59,090 from its high at $55,848 to low at $55,848.
Breaking above the $57,000.500 resistance zone may open up more opportunities. Near the $58,500 resistance level is the next major hurdle. Above which, the price may rise continuously. For bulls, the next target may be at the $60,000 mark.
It could cause further losses if bitcoin does not clear the $57,000.50 resistance zone. Support for the downside lies near $56,100.
Near the $56,000 support, we are seeing the first significant support. If the downside breaks below the $56,000 level, it could signal a rapid decline. Next stop for bears could be at $53,500
Hourly MACD – The MACD is now gaining pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently below the 50 level.
Major Support Levels – $56,000, followed by $55,000.
Major Resistance Levels – $57,000, $58,500 and $58,500.