Key Takeaways:
- Bitcoin rallied to a new all-time high at $73,588 and is currently correcting lower.
- BTC/USD is testing a key rising channel with support at $67,200 on the daily chart.
- The price could start a downside correction toward $52,000 if it breaks $65,000.
NEW DELHI (CoinChapter.com) — Bitcoin price is correcting gains from the $73,500 zone. BTC/USD is showing signs of exhaustion, but the downsides might be limited below $65,000.
Bitcoin Price Signals Pullback
In the last weekly analysis, we saw some swing moves in Bitcoin above $60,000. BTC did remain in a strong uptrend and broke many hurdles near $68,000 to continue higher. It even surpassed the $70,000 resistance zone and traded to a new all-time high.
A high was formed near $73,588 and it seems like the bulls are struggling to push the price toward $75,000. The price is now correcting gains below the $72,000 level.
A short-term top seems to be forming on the daily chart. Today’s candle is signaling a sign of uptrend exhaustion. Bitcoin price is down over 7% and there was a move below the $70,000 level, but it is still well above the 50-day simple moving average (blue).
BTC is now testing a key rising channel with support at $67,200 on the daily chart. If there is a downside break and a daily close below the channel support, the price might extend its decline toward the $65,000 support zone.
The 23.6% Fib retracement level of the upward move from the $38,572 swing low to the $73,588 high is also near the $65,350 zone to act as a support. If the bulls fail to protect the $65,000 support, there could be a larger decline.
The first major support is now forming near the 50-day simple moving average (blue) at $55,000. The main uptrend support for the current wave sits at $52,000 or the 61.8% Fib retracement level of the upward move from the $38,572 swing low to the $73,588 high. A downside break below the $52,000 support might spark sharp bearish moves.
Fresh Increase In BTC?
Conversely, Bitcoin price might remain stable above the channel trend line support or $65,000 and start a fresh increase. Immediate resistance is near the $70,000 level. The first major resistance is near the $72,000 zone.
If the bulls push the price above the $72,000 resistance, there could be a drift toward the $73,500 level. The next major hurdle for the bulls could be near the $75,000 level. A daily close above the $75,000 resistance zone could open the doors for a move toward the $80,000 resistance region.
Overall, Bitcoin price is losing pace above $70,000. BTC/USD could witness a short-term pullback, but the bulls might remain active above $65,000 and the 50-day simple moving average (blue).
