Bitcoin Price Downtrend Sparks Fear of $62K Retest

The Bitcoin price has been in a short-term downtrend since it nearly reached $67K ten days ago. This downtrend is characterized by consecutive lower highs and lower lows, which could lead to a retest of the bull market trendline at around $62,250.

Looking at the bearish head and shoulders pattern, the price has been rejected several times at the neckline, and recently also at the top of the descending channel. If the price continues to decline, it may find support at the bull market trendline or at the horizontal support levels around $63,250 and $62,250.

Moving further out into the daily time frame, the 50-day simple moving average is currently below the Bitcoin price, which has been a sign of a potential crash in the past. Additionally, the rising wedge in the RSI may be about to break down, indicating a possible breakdown in the price action.

It appears that Bitcoin's current weekly candle will close beneath the $66K horizontal resistance again, which could lead to a significant decline in the next week or so. The oil price is expected to rise soon, which could negatively impact the US stock market and, by extension, the Bitcoin price.