Despite the continuation of the decline, yesterday the price of Bitcoin was able to stop near the support level of 56000. Yesterday, the bears tried to push the Bitcoin price below 56000 and even sent it to a low of 55628. However, the bulls managed to recover the price above the support level of 56000. At the time of publication, the BTC/USD pair is trading at around 56675.
Regardless, on the 4-hour chart, the BTC/USD pair is still trading below the 100-hour moving average and below the resistance level of 57000. Also on the 4-hour chart, the BTC/USD pair is trading below the downtrend line, which provides resistance around 58800. At the same time, the BTC/USD pair has several resistance levels below. The nearest resistance level is located near 57200. Further, the pair will meet with resistance around 57500. A move above 58000 will start a wave of Bitcoin price recovery.
On the other hand, the immediate support is near the level of 56500. Key support is still around $56000.
Analysts attribute the current decline in the price of Bitcoin to a weakening of transactional activity. According to BitinfoCharts, on the BTC blockchain the average daily number of transactions decreased from 335,259 to 222,817. At the same time, analysts do not expect an increase in activity this week. As Thanksgiving approaches, player activity will remain low.
