[Bitop Market Review] Bitcoin Price Analysis on May 06, 2024
1. Price Trend:
Bitcoin found support around the $56,500 region and started a significant uptrend, breaking through the key resistance levels at $60,000 and $61,200. It steadily climbed above the $62,500 resistance level, with bulls even pushing the price above $63,500 and the 100-hour simple moving average. However, bears became active again near the $64,500 and $65,000 resistance levels. A high was formed at $64,646, and the price is currently consolidating gains, facing obstacles near $64,500. Presently, the trading price is above $62,500 and the 100-hour simple moving average. While Bitcoin shows positive signs, it may struggle to surpass the $64,500 and $65,000 resistance levels.
2. Potential Upside Opportunities:
The immediate resistance for Bitcoin is near $64,500. The first major resistance may lie around $65,000, followed by a key resistance at $65,500. A clear breakthrough above these resistance levels could drive the price higher. The next resistance level is currently at $66,800. If Bitcoin significantly breaks above the $66,800 resistance, the price could rise towards $68,000.
3. Potential Downside Risks:
If Bitcoin fails to break above the $64,500 resistance, the immediate support on the downside is around $62,800. The first major support is at $61,500. If this support is breached, the price could start declining towards $59,500, or even lead to a short-term drop to the $58,000 support area.
4. Technical Indicators:
Hourly MACD — The MACD for BTC/USD is losing momentum in the bullish zone, potentially indicating a slowdown in upward momentum, which could signal a potential trend reversal.
Hourly RSI — The RSI for BTC/USD is currently approaching the 50 level, suggesting a lack of clear direction in the market.
Resistance levels:
First resistance: 65000
Second resistance: 65500
Support levels:
First support: 62800
Second support: 61500
Trading direction: Short
Entry position: 64500–64700
Stop loss: 65300
Take profit: 63500–63300
Trading direction: Long
Entry position: 63200–63000
Stop loss: 62500
Take profit: 64500–64700
Disclaimer: The article is contributed by the market analyst from Bitop market observation team. The content is solely for personal opinions and sharing. The analysis is time-sensitive and provided for reference and discussion only. It does not constitute any investment advice. The market is risky, so investing should be done cautiously.
