Last time Bitcoin was trading around $58,000 we warned that price was at an important Fibonacci resistance area and we were expecting a downward reversal. Price turned lower and fell as low as $52,900 but now bulls have pushed price again close to the resistance area.

Blue lines - Fibonacci retracements

Bitcoin is back at the 61.8% Fibonacci retracement resistance. Price has not pushed above the latest high. Breaking above $59,000 will be an important sign of strength and could imply more upside should be expected. Resistance is very strong at the 61.8% Fibonacci retracement and another rejection here will be a sign of weakness. Support is key at $52,900-$53,000 and if this level is broken, we should expect Bitcoin to fall even lower towards $47,000-$49,000.