Bitcoin Stabilizes Near $60K Support; Faces Resistance at $63K-65K

Short-term indicators suggest limited downside into Asian trading hours.

Nov 16, 2021 at 6:50 p.m. UTC
Updated Nov 16, 2021 at 9:19 p.m. UTC

Bitcoin (BTC) is down about 5% over the past 24 hours after sellers became more active than buyers around the $65,000 resistance level.

The cryptocurrency is stabilizing around $60,000 support and appears to be oversold on intraday charts.

For now, short-term indicators suggest limited downside into Asian trading hours. For example, the relative strength index (RSI) on the four-hour chart is the most oversold since Oct. 27, which preceded a near 10% price bounce.

Still, the RSI on the daily chart is neutral as upside momentum continues to wane. This suggests intraday buyers will be quick to take profits around the $63,000-$65,000 resistance zone.

A period of consolidation could persist over the next few days before BTC establishes a stronger footing around the $60,000 support zone.

DISCLOSURE

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Damanick is a crypto market analyst at CoinDesk where he writes the daily Market Wrap and provides technical analysis. He is a Chartered Market Technician designation holder and member of the CMT Association. Damanick is also a portfolio manager at Cannon Advisors, which does not invest in digital assets. Damanick does not own cryptocurrencies.