Bitcoin is testing critical support levels after briefly dropping below $60,000 over the weekend to its lowest point since October 2024. Trading near $63,500 on Tuesday, the cryptocurrency remains approximately 50% below its October 2025 record high near $126,000. Technical analysts are warning that a sustained break below the $60,000 psychological floor could trigger a sharp decline toward the $49,000-$54,000 support zone established in late 2024, representing a potential 20% drop from current levels.
The bearish outlook stems from a confirmed breakdown of Bitcoin’s year-long consolidation range in June. Former support levels are now acting as resistance, while the 200-week moving average sits precariously near $61,800. Weekend trading showed brief dips to $59,000 before buyers returned, though analysts view this as temporary demand rather than a durable bottom. Technical chartists emphasize that bulls need a clean daily close above $60,000 to invalidate the bearish scenario.
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FXnCO Insight
** Traders should monitor daily closes carefully, as a confirmed break below $60,000 could accelerate selling toward the $50,000 handle within weeks.
Source: Finance Magnates