Are you keeping up with the latest trends in the world of investing? If so, you’re probably aware of the recent fluctuations in the price of Bitcoin. This popular cryptocurrency has been testing a key level once again, with prices falling below $60,000 for the first time since May 3. As of Tuesday afternoon, Bitcoin was trading above $61,000, which is roughly 17% below its March record of $73,797.68.
Chart analysts are closely monitoring the situation and are cautious about potential further drops in the price of Bitcoin. According to Oppenheimer analyst, Ari Wald, Bitcoin is facing resistance below $66,000 and key support levels are at $57,500 and $56,500. If Bitcoin fails to hold $57,000, it could potentially drop to $49,000, according to Wald.
David Keller, chief market strategist at StockCharts.com, also pointed out potential downside levels for Bitcoin, with support around $58,000 and the possibility of dropping to between $50,000 and $52,000. However, Keller emphasized that buyers often step in around $60,000 and the price could bounce higher from there.
Tom Fitzpatrick of R.J. O’Brien highlighted major support at $56,527 for Bitcoin, as well as a potential double top neckline formation. If this neckline is breached, there could be a significant drop of up to 29%.
Despite the recent fluctuations, some analysts remain optimistic about the future of Bitcoin. Wald emphasized the strength of the current $57,500 support level and the 200-day moving average, suggesting that the rising trend may continue. Additionally, bullish action in the NASDAQ-100 indicates positive risk tolerance in the market.
As an investor, it’s important to stay informed and educated about the latest developments in the cryptocurrency space. Keep an eye on key support and resistance levels for Bitcoin and be prepared for potential fluctuations in the market. Stay tuned to Extreme Investor Network for more insights and analysis on Bitcoin and other investment opportunities.