October 3, 2022

Bitcoin price uptrend to $65,000 decelerates amid potential bearish comeback

2 min read

  • Bitcoin recovery hit a barrier at $64,000, hindering movement to $65,000.
  • The ascending parallel channel lower edge support is under tremendous pressure to give to bearish advances.

Bitcoin has resumed the sluggish price action a day after hitting a new record high close to $65,000. The recent upswing occurred after Coinbase was directly listed on the Nasdaq exchange. This was a moment of reckoning, not only for Coinbase but for the whole cryptocurrency industry. On a leading global exchange, such a listing gives legitimacy to the digital space and is bound to attract more players into the market.

At the time of writing, the flagship cryptocurrency exchanges hands near $66,140 while bears push for a stride lower. The price is trading within the confines of an ascending parallel channel whereby the lower edge is under immense pressure to allow sellers to crack through.

If the immediate channel’s support caves in, Bitcoin price will drop appreciably toward $60,000. This is the next tentative support area and is highlighted by the 50 Simple Moving Average (SMA) as observed on the four-hour chart.

The bearish outlook has been reinforced by the Moving Average Convergence Divergence (MACD) indicator. This indicator follows the asset’s trend and measures its momentum. The MACD identifies positions to buy the dip and sell the top.

When the MACD line crosses under the signal line, it implies that the trend has flipped bearish, as seen on the chart. On the other hand, the trend flips bullish as the MACD strikes above the signal line.

BTC/USD four-hour chart

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BTC/USD price chart
BTC/USD price chart by Tradingview

It is worth mentioning that Bitcoin will resume the uptrend if the channel’s lower edge support holds firmly. Here, bulls will stop concentrating on securing support but look toward the recovery journey to $65,000.

Bitcoin intraday levels

Spot rate: $63,140

Trend: Bearish biased

Volatility: Expanding

Support $62,000 and $60,000

Resistance: $64,000 and $65,000

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