Bitcoin Price Slips Again: Is This the Start of a Bigger Drop?

Bitcoin is gaining pace below the $58,000 support zone.
The price is trading below $57,500 and the 100 hourly Simple moving average.
There was a break below a connecting bullish trend line with support at $58,900 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could struggle to recover above the $57,650 or $58,000 resistance levels in the near term.

Bitcoin Price Takes Hit

Bitcoin price extended losses below the $57,500 support levels. BTC even traded below the $57,200 support. There was a break below a connecting bullish trend line with support at $58,900 on the hourly chart of the BTC/USD pair.

A low was formed at $55,591 and the price recently started a recovery wave. There was a move above the $56,000 and $56,200 resistance levels. It cleared the 23.6% Fib retracement level of the downward move from the $59,773 swing high to the $55,591 low.

Bitcoin is now trading below $58,000 and the 100 hourly Simple moving average. On the upside, the price could face resistance near the $57,650 level or the 50% Fib retracement level of the downward move from the $59,773 swing high to the $55,591 low.

The first key resistance is near the $58,000 level. A clear move above the $58,000 resistance might send the price further higher in the coming sessions. The next key resistance could be $58,800. A close above the $58,800 resistance might spark more upsides. In the stated case, the price could rise and test the $60,000 resistance.

More Downsides In BTC?

If Bitcoin fails to rise above the $58,000 resistance zone, it could start another decline. Immediate support on the downside is near the $56,350 level.

The first major support is $55,500. The next support is now near the $55,200 zone. Any more losses might send the price toward the $53,500 support in the near term.

Technical indicators:

Hourly MACD – The MACD is now gaining pace in the bearish zone.

570% up to 12 BTC + 300 Free Spins for new players & 1 BTC in bonuses every

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $56,350, followed by $55,500.

Major Resistance Levels – $57,650, and $58,000.

Aayush Jindal

Aayush Jindal, a luminary in the world of financial markets, whose expertise spans over 15 illustrious years in the realms of Forex and cryptocurrency trading. Renowned for his unparalleled proficiency in providing technical analysis, Aayush is a trusted advisor and senior market expert to investors worldwide, guiding them through the intricate landscapes of modern finance with his keen insights and astute chart analysis.