Bitcoin Rejected at 62498 Signaling Bearish Dominance

CoinDesk reports:
Bitcoin recently faced significant rejection at the $62,498 resistance level, highlighting the prevailing bearish sentiment in the market. The failure to break through the key threshold underscored the strength of selling pressure and raised concerns about a potential downward trend.
The rejection at this crucial level signaled caution among traders and investors, prompting a reassessment of market strategies. With the continued bearish momentum, this analysis explores possible outcomes for Bitcoin’s price trajectory and its broader impact on the cryptocurrency market.
At the time of writing, Bitcoin’s market cap exceeds $1.2 trillion, with a trading volume of over $27 billion. The cryptocurrency’s price has currently risen by 1.2%, trading at around $61,582. Despite a 31.26% increase in market cap, trading volume has decreased by 35.43% compared to the previous day.
Technical Indicators: Continuing Pressure Signs
The price of BTC on the 4-hour chart remains decidedly bearish, trading below the 100-day Simple Moving Average (SMA). Currently, Bitcoin is attempting to move lower after being rejected at $62,498, as indicated by the blue line on the chart.
Source: BTCUSDT on Tradingview.com
The formation of the Williams Alligator on the 4-hour chart suggests that BTC’s price may continue its bearish trend, as the Alligator’s lips and teeth above its jaw have not successfully crossed.
On the 1-day chart, Bitcoin’s price was significantly lower after being rejected at the $62,498 level for the second time, indicating that even if Bitcoin continues to trade below the 100-day SMA, it will exhibit more bearish sentiment.
Furthermore, the 1-day Williams Alligator also indicates a more bearish outlook for BTC. After successfully crossing the Alligator’s lips and teeth below the Alligator’s jaw, they have maintained a good spread.
Source: BTCUSDT on Tradingview.com
It is important to note that from an overall perspective, the price of crypto assets is decidedly bearish. Considering the formation of price trends and indicators on the 4-hour and 1-day charts, it is evident that bearish sentiment currently dominates the market.
Potential Scenarios: What’s Next for Bitcoin?
An analysis of potential future scenarios for Bitcoin’s price trajectory after rejection shows that if Bitcoin continues to move lower and breaks through the $60,152 support level, it may move down to test the $58,523 support level. If the price breaks through this level, it may continue to test other lower levels.
However, if rejection occurs at the $60,152 support level, Bitcoin may start moving up towards the $64,515 resistance level. If it breaks this level, the price of cryptocurrency assets may grow towards the $71,909 resistance level and possibly other higher levels.
BTC’s trading price on the 1-day chart is $61,515 | Source: BTCUSDT on Tradingview.com