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Bitcoin investors are encountering significant difficulties as they attempt to rebound from a two-month low in BTC prices.
The recent recovery in Bitcoin’s price has been constrained, however, due to substantial resistance.
Despite a 6.2% increase from this week’s low, BTC has struggled to break through essential trendlines.
Moving Average Poses Threat to BTC Price “Challenge”
During April and May, Bitcoin saw a 23% decline from its recent peak, diminishing the likelihood of a recovery.
BitMEX Co-Founder Arthur Hayes forecasted that Bitcoin will be trading below $70,000 in August.
Initially, $60,000 must be convincingly surpassed, but thus far, the resistance levels are prevailing against the bulls.
Bitcoin’s 100-day moving average (MA), currently at $59,930 as of May 3, has served as market support since October 2023 and provided a foundation during the first half of 2023’s Bitcoin bull market.
At the time of writing, the candlesticks have dipped below the MA, suggesting a potential downtrend.
The Trading Indicator collectively acknowledged that bulls are facing significant hurdles at the 100-day MA.
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“Reclaiming the 100-Day Moving Average would be a significant milestone for Bitcoin Bulls that could trigger a short squeeze,” Keith Alan noted in a post on X.
Bitcoin Short-term Holders in the Red
In the journey toward recovery, the BTC price must navigate another hurdle: the short-term holder realized price (STH-RP).
STH-RP is a conventional support line for bull markets, representing the aggregate cost basis of Bitcoin holders who are more speculative.
Specifically, it encompasses wallets that hold BTC for 155 days or less.
On May 1, STH-RP was recorded at $59,684, the most recent date for which data is available from the on-chain resource.
The metrics have established a new trendline close to $60,000.
Cubic Analyst CEO Caleb Franzen included STH-RP in his own list of resistance levels to overcome.
“My personal line in the sand for ‘risk-on’ is a daily close above $61k,” he stated. “There is much work to be done.”
The post Roadblock to Riches: Bitcoin Price Stagnates at $60K Mark appeared first on Cryptonews.
