Cryptocurrencies struggle to snap a 10-day long losing streak. Bitcoin dropped below $55,000 during the Asian session today, dropping over 20% off the highs reached on November 10, 2021. However, bulls started to regain control as the European morning drew near and the major cryptocurrencies is currently trading near $57,000 mark. News of PayPal launching a new app that allows crypto payments to be made to its merchants could have helped the sentiment. A look at BITCOIN chart shows us that the coin has reached an important technical support. Today's daily low was reached near the lower limit of the local market geometry. Following a bounce off the daily lows, today's daily candlestick starts to look promising and may suggest that the a larger recovery move may be on the cards. In such a scenario, traders should focus on the price zone marked with the 23.6% retracement of recent upward impulse in the $60,000 area, that is additionally strengthened by the 50-session moving average (green line on the chart below). On the other hand, should bears regain control over the market and push the price below the aforementioned lower limit of the geometry, the next near-term support to watch can be found at the 38.2% retracement that coincides with the 100-session moving average (red line).
Source: xStation5
