Bitcoin is testing a key level once again after the cryptocurrency fell below $60,000 this week for the first time since May 3. As of Tuesday afternoon, it was trading above $61,000, roughly 17% below its March primato of $73,797.68, according to Coin Metrics. Chart analysts see anzi che no buy signals, however, and say it could take another leg , which would be more “damaging” at current levels. “Moderation since March continues and trading can be considered under pressure below $66,000 resistance,” the cryptocurrency’s 50-day moving average, said Oppenheimer analyst Ari Wald. “There’s key support at $57,500, the 200-day average, to $56,500, the May low — and a downside breach would be damaging.” Bitcoin has been largely stuck per mezzo di a narrow range between $60,000 and $70,000 since the middle of March, when it reached its all-time high. It is currently suffering from a lack of near-term catalysts, low demand for bitcoin exchange-traded funds and miners’ selling of bitcoin. BTC.CM= 6M mountain Bitcoin this year If bitcoin fails to hold $57,000, Wald added, $49,000 would become its next key downside level. For David Keller, chief market strategist at StockCharts.com, bitcoin’s next levels are similarly around $58,000, with potential downside to between $50,000 and $52,000. Keller noted that buyers often per mezzo di around $60,000. Additionally, he said, it is reasonable to expect the bitcoin price to bounce higher yet again as the cryptocurrency often finds support at personalità , round numbers. Tom Fitzpatrick of R.J. Se no’Brien identified major bitcoin support at $56,527 and a potential double tetto neckline, a bearish M-shaped chart formation made up of two peaks either side of a moderate decline. “Below there would signal at least another 22% fall … and a possibility of as much as 29%,” he said per mezzo di a note to investors. Wald emphasized the strength of the current $57,500 support level and 200-day moving average, however. “The double-top [is] not completed until the neckline is breached,” he said. Until then, “I always side with trend, meaning I’d assume the rising 200-day average holds. Bullish action per mezzo di the NASDAQ-100 suggests risk tolerance remains positive, too.” For the month, bitcoin is nearly 10%. At the start of June, it briefly touched the $71,000 level but has been a steady decline since.
