Key Takeaways:
- Bitcoin gained bullish momentum following a surprising 0.50% rate cut by the Fed.
- BTC/USD broke through a bearish trend line with resistance at $60,800 on the daily chart.
- The price faces significant hurdles around $63,500, $65,000, and $68,000.
Bitcoin is showing positive signs above $60,000, indicating potential for further gains, though it may encounter challenges near $65,000 and $68,000.
Bitcoin’s Price Potential
Recently, Bitcoin experienced a notable upward move, surpassing the $58,000 resistance. However, it struggled to maintain momentum above the $60,000 mark until the Fed’s 50 basis point rate cut spurred a breakout.
The BTC price cleared a bearish trend line at $60,800 on the daily chart and exceeded the 61.8% Fibonacci retracement level from the $65,200 swing high to the $52,756 low.
Bitcoin is now trading positively above the $60,000 pivot level and the 50-day simple moving average. Immediate resistance lies around $62,250, near the 76.4% Fibonacci retracement level.
To continue its upward trajectory, Bitcoin needs to settle above the $65,200 resistance. If successful, bulls may target a test of the significant barrier at $68,000, where a critical declining channel also exists at $68,200, coinciding with the 1.236 Fibonacci extension level. A close above this channel could ignite a new rally.
Challenges Ahead for Bitcoin
On the downside, Bitcoin may struggle around $62,250 or $65,200 and could initiate another decline. Immediate support is at $60,500, with major support near the $60,000 level.
A break below $60,000 could lead to further bearish movement, possibly down to the 50-day simple moving average at $59,200. Continued losses could open the door for a drop toward the $55,500 support zone.
Overall, Bitcoin is displaying bullish signs above $60,000, but significant resistance near the $65,000 level could challenge its upward progress in the coming days.
The post Bitcoin (BTC) Price Flashes Bullish Signs After Fed Cut, But Has a Long Climb Ahead appeared first on CoinChapter.
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