Bitcoin Analysts Warn of Potential Liquidations Amid Critical Moment
Crypto world analyst Josh has pointed out a potential critical moment for Bitcoin, with crucial support levels being tested as Bitcoin faces potential liquidations.
Bitcoin Market and Support Levels
The Bitcoin market is currently experiencing considerable pressure from bearish indicators as key support levels hold. Important support levels are being tested between $60,200 and $61,200. If Bitcoin closes below $60,000 in a daily candle, the next expected support levels are $59,500 and $58,000. Sustained downside pressure might bring the price to the range of $56,000 to $57,000. However, if Bitcoin manages to rebound from the current support, there is expected short-term resistance around $63,000, with stronger resistance at $64,200 to $64,500. Even if Bitcoin overcomes these levels, it will still encounter strong resistance around $67,000 to $68,000.
Market Charts and Trends
Looking at the four-day Bitcoin chart, the Super Trend indicator remains in the red, signifying bearish momentum. This is in alignment with the broader trend observed over the last six months. On the two-day chart, Bitcoin is trapped within a descending broadening wedge pattern, suggesting a longer-term bearish trend. To reverse this trend into a bullish phase, Bitcoin would need to break above the resistance line of about $66,000 and preferably reach $67,000 to $68,000.
Bitcoin Liquidation Heat Map
Market activity has recently seen liquidation of positions between $61,300 and $61,700. As the price approaches a significant liquidity zone just below $60,000, it could become a target for further price action. If we see sustained bearish momentum along with rising DXY, it could lead to more liquidations.
Source: https://coinpedia.org/news/bitcoin-price-prediction-what-a-dip-below-60000-could-indicate-now/ |||||