Bitcoin misses $54k levels, no bullish action in sight.
Bitcoin experienced significant price fluctuations, first rising to $57,000 and then falling below $55,000 after the release of the US jobs report, causing volatility in the crypto market. This sudden surge in prices resulted in the outflow of nearly $50 million in one hour. Major altcoins such as Ethereum, Solana, Ripple's XRP and Cardano suffered losses of 3% to 5%.
Bitcoin recently dropped below the support zone of $56,000 to $57,000 and is currently testing as low as $54,000. According to Crypto World analyst Josh, the price may consolidate around the $55,000 to $57,000 support zone before taking a decisive action. If the support continues, Bitcoin may see a rally to higher resistance levels, but breaking these will be challenging without strong bullishness.
Although Bitcoin will experience a short-term rally, it will face strong resistance at various levels, including $59,500, the $60,000 to $61,000 range, $62,900, and finally, strong resistance around $64,500. If the price fails to break through these levels, it may be rejected and continue its downward trend.
If Bitcoin falls below the critical support at $56,000, the next major support level will be around $54,000. However, at the time of writing, Bitcoin is trading at $54,000 levels and it looks like it will lose this critical level soon.
Looking at the Bitcoin liquidity heat map, the recent price action has been interrupted, revealing that the market is going sideways. There is liquidity building around $55,000, which could affect price action. However, the most critical level of liquidity is between $59,800 and $60,000, which represents the main zone of interest for traders.
