Bitcoin Price Trims Gains: Is The Recovery Losing Steam?

As an analyst with over two decades of experience in the financial markets, I have witnessed numerous bull and bear cycles. The recent decline in Bitcoin price from the $60,000 resistance zone is not uncommon, and it’s important to keep a cool head amidst market volatility.


The cost of Bitcoin began a new drop after hitting the $60,000 ceiling. At present, it’s trending downward and could potentially reach the $57,650 support level.

    Bitcoin started a fresh decline from the $60,000 resistance zone.
    The price is trading below $58,800 and the 100 hourly Simple moving average.
    There was a break below a key bullish trend line with support at $59,700 on the hourly chart of the BTC/USD pair (data feed from Kraken).
    The pair might attempt a fresh increase if it stays above the $57,650 zone.

Bitcoin Price Dips Again

The value of Bitcoin found it challenging to consistently stay above the $60,000 barrier. A peak was reached around $60,200, after which the price began a downward trend. It dipped below the $58,500 support level as well.

In simpler terms, the price dropped under a significant level of support (23.6% Fibonacci retracement level) from the price drop between $56,117 and $60,210, and also broke through an important uptrend line that was previously holding at $59,700 on the hourly Bitcoin-US Dollar chart.

In simpler terms, they checked if the $58,000 area would hold as a support for Bitcoin price. Currently, Bitcoin’s price is below $59,000 and also lower than its 100-hour moving average. However, it’s still higher than the halfway point (50%) of the price movement from its lowest point at $56,117 to its highest point at $60,210.

Looking on the positive side, the price may encounter a barrier around $58,800. The primary hurdle is found near $59,500. If the price manages to break through the $59,500 barrier, it might continue moving upwards in the forthcoming sessions. Another significant resistance could be at $60,000 level.

If the price climbs above the $60,000 barrier, it may trigger further increases, potentially pushing the price to challenge the $61,500 resistance level.

More Losses In BTC?

If Bitcoin doesn’t manage to break through the $58,800 barrier, it might keep falling instead. The nearest potential support lies around the $58,000 mark.

Initially, a significant level of support can be found at approximately $57,650. Currently, the next potential support is close to the $57,000 region. If the price continues to fall, it may trend towards the $55,500 or even $55,000 support levels in the near future.

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.

Major Support Levels – $58,000, followed by $57,650.

Major Resistance Levels – $58,800, and $59,500.

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2024-08-19 09:40