Bitcoin price continues fluctuating between $48,000 and $51,000. Thus far, the crypto hasn’t managed to break out of the $51,600 resistance level.
According to technical analysts, if Bitcoin won’t surpass the $51,600 resistance area in the near term, the probability of a correction will increase. So, $51,600 is essentially the key level to watch.
Josh Olszewicz, a cryptocurrency trader and technical analyst, stated that currently, the $51,600 level is acting as a significantly strong resistance level. If Bitcoin doesn’t move cleanly past $51,600, it won’t be able to retest the all-time high at $58,000 or even begin a potential rally towards $62,000.
As a result, if the crypto fails to break out in the near term, it may end up in the bearish territory, even tumbling down as low as $42,000. Still, that would mean only a short-term bearish attitude.
Furthermore, the $42,000 support area is a key level as it marks the highest point of the previous rally. Bitcoin skyrocketed at $42,085 on Binance on Jan. 8 before seeing a steep correction.
In an ideal scenario, Bitcoin would hold onto the $44,800 support area if it declines again. That will enable crypto to rise again.
How do Ethereum and Litecoin fare?
Ethereum tumbled down by 0.05% to $1,624.49 on Thursday. After a mixed start of the day, the crypto jumped to an early morning high of $1,634.99 before dropping to a low $1,621.00
On Wednesday, Ethereum soared by 3.01%. After partially reversing the 11.27% fall on Tuesday, the crypto ended the day at $1,625.3. It plunged to an early morning intraday low of $1,500.28 before recovering.
Ethereum also steered clear of the first major support level at $1,362 and skyrocketed to a late morning intraday high of $1,714.00.
The crypto fell short of the first major resistance level at $1,789, but it managed to break through the 23.6% FIB of $1,579. Later Ethereum briefly dropped through the 23.6% FIB before ending the day at $1,600 levels.
Litecoin climbed up by 0.02% to $181.74 on Thursday. After a mixed start of the day, the crypto plummeted to an early morning low of $181.05 before soaring to a high of $182.17.
On Wednesday, Litecoin added by 2.37%. After partially reversing a 14.71% drop from Tuesday, the crypto ended the day at $181.70.
However, it tumbled down to an early morning intraday low of $168.89 before moving. After that, the crypto steered clear of the 38.2% FIB of $163, as well as the first major support level at $154.55. But it hit a mid-day intraday high of $189.69.