Bitcoin News: Will Bitcoin Price Crash Back Below 60k?

Despite the great week start for all cryptocurrencies and Bitcoin in particular, reflecting market optimism and signs of a bullish trend ahead. However, the past hours were different, as if the hype had slowed down, with red signals all across. Looking at the current market performance, would it be the beginning of another crypto market crash?

1- Bitcoin Price Analysis: Down to $64k Amid Market Jitters

Bitcoin price fell to $64,757 on Thursday, a 0.93% drop over the past 24 hours. This decline comes after a notable rebound, largely driven by ongoing concerns over token distributions from the defunct Mt Gox exchange. Despite a recovery from near four-month lows, fears regarding a potential influx of Bitcoin into the market persist.

Mt Gox Distribution Fears

The mobilization of $2.8 billion worth of tokens from Mt Gox wallets earlier this week has sparked concerns. The exchange plans to start returning tokens stolen in a 2014 hack to creditors this July, potentially increasing the Bitcoin supply and driving down prices. These fears have previously driven sharp declines, bringing Bitcoin price close to levels that could force some miners to capitulate.

Impact of External Factors

Bitcoin price recent rebound was partly fueled by speculation over a second Trump presidency, as the former president has expressed support for cryptocurrencies. Additionally, the broader crypto market has benefited from recent dollar weakness, amid expectations that the Federal Reserve will begin cutting interest rates from September.

2- Bitcoin Price Prediction: Prospects for Another Rise?

Bitcoin price has struggled to extend gains above the $66,000 resistance level, currently consolidating above the $63,500 zone. Despite recent attempts to clear the $66,000 resistance, Bitcoin price faced a downside correction.

Bitcoin Key Support and Resistance Levels

Bitcoin price found support near $63,850, aligned with the 61.8% Fibonacci retracement level of its recent upward move. A key bullish trend line is forming with support at $64,000. The Bitcoin price is trading above $64,000 and the 100-hourly Simple Moving Average (SMA). Immediate resistance lies near $65,000, with key resistance at $66,000. A clear move for Bitcoin price above $66,000 could spark further increases, with potential targets at $66,500 and $67,200.

Potential Downside Risks

If Bitcoin price fails to climb above the $65,000 resistance, it may continue to move down. Immediate support is at $64,000, with major support at $63,850 and $63,500. Further losses could push the price toward the $62,500 support zone.

3- Altcoin Market: Cooling Rebound

The broader cryptocurrency market mirrored Bitcoin price movements, with major altcoins retreating from recent gains. Ethereum price fell by 1.58% to $3,436, while XRP price slid 3.97%. Meme tokens like SHIB and DOGE also saw declines, with SHIB price dropping 6.69% and DOGE price shedding 3.09%.

Bitcoin price remains in a critical zone, influenced by various market dynamics and external factors. While the cryptocurrency has shown resilience, key resistance and support levels will determine its short-term trajectory. Investors should stay informed and consider these factors when making investment decisions.