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▲ Bitcoin (BTC), Cryptocurrency Crash/AI-generated image
As Bitcoin (Bitcoin, BTC) price continues its recent downtrend and struggles to maintain key support lines, it faces a critical juncture that will determine future further declines or a rebound.
According to NewsBTC on May 20 (local time), Bitcoin price began a new decline below the $76,800 zone. Bitcoin failed to maintain above the $77,200 support line and remained in bearish territory, eventually falling below the $76,500 mark, extending its losses.
Subsequently, Bitcoin price was pushed below $76,200, forming a low at $76,020, and is currently undergoing a corrective phase following the decline. Bitcoin still appears to be struggling to break above the 23.6% Fibonacci retracement level of the downtrend from the high of $82,018 to the low of $76,020.
Currently, Bitcoin is trading below the $76,800 level and the 100-hour simple moving average. On the hourly chart of the Bitcoin/USD pair, a bearish trend line is forming with resistance at $77,200. If Bitcoin stably holds above the $76,000 support level, there is a possibility for a new upward attempt, and the immediate resistance level is around $77,200.
If the closing price forms above the key resistance level of $77,450, the price could rise further. If an upward breakout is successful, it could climb to the $79,000 resistance level or the 50% Fibonacci retracement level of the downtrend from the high of $82,018 to the low of $76,020. In case of further rises, it would target $80,000 and then the next barrier at $82,000, respectively.
If Bitcoin fails to overcome the $77,450 resistance zone, another downtrend could begin. The immediate primary support level is formed around $76,400, and if even the major support levels of $76,000 and $75,500 break down, selling pressure will intensify, posing a significant risk of a short-term retreat to the $74,000 zone.
*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*
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