Bitcoin (BTC) Price Analysis: BTCUSD Treads Water Below $61,000 as War Tensions Escalate

Bitcoin price continued with its downward trajectory on Thursday, going down by 0.7 percent to trade at $60,604

Bitcoin price dropped further on Thursday, continuing a four-day losing streak that has erased 8% of the cryptocurrency’s value. The slide comes amid rising war tensions in the Middle East, which are keeping traders in a cautious mood.

* Bitcoin price fell 0.7% on Thursday to trade at $60,604 at the last check.

* A failure to hold above $60,000 could lead to sub-$50,000 levels.

* Bitcoin’s exposure to the mainstream economy is higher this time, compared to the COVID-19 period.

Rising war tensions in the Middle East are keeping traders in a cautious mood, which is evident from theが少ない appetite for risky assets. Bitcoin price has lost 8% of its value in the last four days, underlining the strong grip by the bears.

A break below the psychological $60,000 mark could deal a blow to Bitcoin’s latest attempt to rally for the first time since the April halving event. However, the US dollar is also in a weak position, and that could provide support for BTCUSD.

The US economy printed soft macroeconomic data this week, with mixed PMI figures and a higher-than-expected Initial Jobless Claims figures grabbing the headlines.

The status of the US economy is a double-edged sword for Bitcoin. That’s because its exposure to the mainstream economy is higher this time, compared to the COVID-19 period when it rallied in an economy that was plummeting due to a pandemic.

ETF approvals earlier in the year have created a platform where Bitcoin price can be influenced outside cryptocurrency exchanges, unlike in the past.

Bitcoin price is likely to attempt to hold off breaking below $60k, and could potentially reverse the downtrend if it can head into the weekend above that mark. Otherwise, a breach of that support could clear the way for a potential decline to the sub-$50k territory.

Bitcoin price 4-hour chart

The momentum on Bitcoin price favours the downside, and the sellers will likely be in control if resistance persists at $61,235. In that case, the first support will likely be at $60,462. However, extended control by the bears could result in further losses to break below that level and test $59,850.

On the other hand, the buyers will likely take control if BTC fails to go above the $61,235 pivot mark. If that happens, the next barrier could come at $61,744, but a stronger upward momentum could break above that level to test $62,370. That will also render the upside narrative invalid.

The above is the detailed content of Bitcoin (BTC) Price Analysis: BTCUSD Treads Water Below $61,000 as War Tensions Escalate. For more information, please follow other related articles on the PHP Chinese website!