Bitcoin fell further from its overbought rise despite its attempt at gaining momentum for a second leg up. After months of selling owing to a 55% pullback to $29,301, Bitcoin regains what it had lost beyond prior highs of $64,890. Steady gains have pushed BTC prices to a fresh historic high, peaking at $66,999 on Oct. 20. Bitcoin retraced after the recent surge suggesting the start of a price correction as bulls take a break under the $60,000 psychological zone. As of the time of this post, BTC/USD continues to drop, placing a distance between the intraday high of $61,488 and its price action. Despite the lead crypto’s rollback, bulls remain upbeat towards reaching another fresh all-time high above $80,000 at the year’s end. The Proshare Bitcoin Strategy ETF, or ticker BITO, amassed more than $1 billion in assets in only days, owing to the hype around its launch leading to a price surge in BTC spot price. Amid the record-breaking gain, traders took profits following the fading 1st US Bitcoin ETF hype, causing the price to plummet below $60,000.
Key Levels
Resistance Levels: $67,000, $64,000, $60,000
Support Levels: $58,100, $54,000, $50,000
BTC/USD Daily ChartBTC fell further today, dropping from $61,488 to $58,100 level. Despite the fall, it still retains its trend in favor of the bulls, although the bears have won a near-term lead by sending the price below the psychologically important $60,000 mark. The moving average (MA 50), which is currently below $51,800, offers powerful floor support for the price activity.
After an unimpressive break to a short-lived $66,999 all-time high, many traders stay pressured or reawakened to renewed fears of a slowing bull trend. Based on local retracement volume profiles, the $64,000 zone is a point of resistance; bulls should expect a rough ride to break above this confluence zone.
BTC/USD 4-Hour ChartThe recovery of the BTC/USD ended at the $66,999 high. A continuation of the decline might reach the Oct. 12 low level at $53,955. The 4-hour chart indicates emerging support near the $58,000 zone. However, another recovery would have to face the combined resistance of the $64,000 level and short-term moving average (MA 50) at $62,300.
Currently, the overall trend is not aligned with a price direction, while the short-term oscillators convey conflicting signals in momentum. If sellers manage to dip beneath the $57,600-$57,000 barricades, the bears could then aim for the short-term moving average (MA 200) at $54,500 and the $53,000 barrier slightly beneath.
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