TA: Is it a drop in the short term? Why Bitcoin Price Could Fight Above $ 57.5K

Bitcoin's price extended the decline and tested the $ 55,500 support against the US dollar. BTC is currently recovering but will likely encounter strong resistance near the $ 57,500 level. Bitcoin was unable to maintain the $ 57,000 area and extended the decline to the $ 55,500 level. The price is currently trading well below the $ 57,500 support and the 100 hourly easy moving average. There was a break below a major contraction triangle with support near $ 57,450 on the hourly chart of the BTC / USD pair (Kraken data stream). The pair may correct upwards, but the bulls should face strong interest to sell near $ 57,500. Bitcoin Price Falls Additionally, Bitcoin struggled to sustain its upward move above the $ 58,000 area, causing a bearish move. BTC surpassed the $ 57,500 and $ 56,200 support levels to move into the bearish zone. There was also a break below a major tightening triangle with support near $ 57,450 on the hourly chart of the BTC / USD pair. The pair peaked below the $ 56,000 level and tested the next key support near the $ 55,500 area. The low occurs around $ 55,492 and the price consolidates the losses. It is currently trading above $ 56,000 and is testing the 23.6% Fib retracement level of the last drop from $ 59,475 to $ 55,492. On the upside, the first major resistance is near the $ 57,000 level. Source: BTCUSD Major resistance on TradingView.com is currently forming at $ 57,500 (last break zone). The 50% Fib retracement level of the recent volatility from $ 59,475 to $ 55,492 is also near the $ 57,500 level and a major hurdle. A sharp break above the $ 57,500 level could open the doors to a steady uptrend. More losses in BTC? If Bitcoin doesn't go above $ 57,000 and $ 57,500, there may be other disadvantages. The first major negative support is near the $ 56,000 level. The main support is currently forming near the $ 55,500 level. A break below the recent low of $ 55,500 could accelerate losses. Next ta Read more

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