It’s been a bullish day for the crypto market after a broadly optimistic day for Bitcoin and the broader market on Thursday.
Bitcoin Price Action
Bitcoin surged to an early morning current day high of $62,100.0, avoiding the first key support level at $57,988.
However, after failing to break through the first major resistance level at $62,826, Bitcoin dropped to sub-$60,500 levels before finding support.
To attempt another run at the first big resistance level at $62,826, Bitcoin would have to avoid a fall through the $60,216 pivot.
Any upside would likely be capped by the first big resistance at $62,826 and resistance at $63,000, unless there is a protracted crypto surge.
If the price falls below the pivot at $60,216, the first significant support level at $57,988 will be tested.
However, unless there is a sustained sell-off into the afternoon, Bitcoin should avoid falling below $57,000.
A Deep Correction on the Cards?
A well-known cryptocurrency market researcher is putting out scenarios for a Bitcoin (BTC) drop before it soars to new all-time highs.
Cred, a market expert, believes that if the market is overleveraged, Bitcoin might fall below $52,000.
He states that it also relies on the state of the leverage market at the time. You can expect a deeper wick if you have a large puke and then funding keeps going positive and leverage keeps buying the dip as the market moves lower.
Support between $56,000 and $58,000, he believes, will likely provide a good platform for continuing BTC bullishness.
He further adds, However, your closest trade setup at structure is a move below the previous week’s low into the 56k to 58k support. Pay attention to your nearest bullish continuation setup at structure he says.