BTC/USD is now confirmed to be in a range-bound move as Bitcoin slumps to $55K . Bitcoin fluctuates between $56,200 and $59,000 price levels. The range-bound move has caused buyers to retest the $59,000 resistance level on five occasions. The rejection was caused by prices reaching the overbought region of the market.
Resistance Levels: $70,000, $75,000, $80,000
Support Levels: $50,000, $45,000, $40,000
Following the recent range-bound movement between $56,200 and $59,000, Bitcoin has fallen above the $56,200 support. For the past four days, the bears have been defending the $59,000 resistance zone. Assuming, buyers are successful above the recent high. BTC price will attempt to retest or break the $60,000 psychological price level.
When this level is breached, BTC/USD will commence the resumption of upside momentum. BTC price will rally to the overhead resistance zones of $67,000 and $69,000. Conversely, if buyers fail to breach the recent high, Bitcoin will drop to $54,000 and later to the $52,000 price levels. This will cause Bitcoin to fall to a deeper correction.
BTC/USD has a bearish crossover. That is, the 21-day line crosses below the 50-day line moving averages indicating a sell signal. . The king coin is at level 45 of the Relative Strength Index for period 14. It indicates that Bitcoin is in a downtrend zone and capable of falling on the downside. BTC price is above the 25% range of the daily stochastic. The stochastic bands are sloping horizontally as the bullish momentum subsides.
Meanwhile, Bitcoin is consolidating above the $56,200 support as Bitcoin slumps to $55K .The current upward move has been stall at the $57,400 high. If Bitcoin falls and breaks below the $56,200 support, the market will further decline to $53,800.
By Azeez Mustapha
