Bitcoin is showing signs of weakening as it tries to regain its edge, putting the market at a critical turning point. The $66,000 level has now become a key support zone that could mark the next major move. Staying above it can give the bulls a chance to trigger a recoveryhowever, a decisive break below could open the way to deeper declines.
Bitcoin struggles below blue box resistance as buyers remain still
Bitcoin continues to trade below the blue box resistance, signaling that the market has yet to regain sturdy bullish momentum. According to cryptocurrency analyst Kamile Uray, buyers failed to reach the $69,407 level that was closely monitored within 4 hours. Although selling pressure has driven the price down, the rate of decline has begun to snail-paced in the current region.
Uray explained that as long as Bitcoin remains above the $66,187 level, another attempt to overcome the blue box resistance is possible. Decisive breakout above the resistance at $69,407, especially on sturdy, high-volume candles, could open the door to a much larger move higher.
Based on the principle of equal waves, such a breakout scenario could push Bitcoin towards the $100,000 level. A daily close above $98,200 would also establish a up-to-date all-time high in the context of the latest wave structure on the daily chart, increasing the chances of a sustained uptrend.
However, caution may be required if the price approaches the $107,000-$109,000 region as bearish Libra formations may develop in this zone. Failure to close above the previous high may activate the formation and trigger another move down.
Meanwhile, the $66,187 level remains a key support to watch on the 4-hour chart. A hold above this value will keep bullish expectations intact, while a close below this value could lead to a retest of $62,433. If the decline deepens further and resistance levels continue to limit upside attempts, the next major support targets will be $62,433, $55,230, and $47,256.
BTC loses $70,000 support as bearish momentum builds
Crypto Candy cryptocurrency analyst excellent that Bitcoin was unable to maintain its position above the $70,000 level and eventually closed below it. Staying above this zone has previously been highlighted as key to maintaining the rally momentum. The failure to defend the $70,000 figure suggests that the sellers have regained control of the market market.
The analyst further explained that bearish pressure may continue unless Bitcoin manages to recover and break above the $74,000 level. As long as the price remains below this threshold, momentum is favorable to the downside, with a potential move towards the $61,000 region or even lower levels.
Featured image from Getty Images, chart from Tradingview.com
