Bitcoin looks to crack below key support level in drop under $58,000

The cryptocurrency is facing a tough end to April trading and an even rougher start to May trading. The halving has come and gone and it looks like support from a technical perspective is as well. Bitcoin is now falling below $58,000 after sliding below the $60,000 mark. But more importantly, price is looking to take out the 100-day moving average (red line) at $59,540.

That was the key level which held the drop back at the end of January, before Bitcoin rallied hard over the next two months.

As such, a break under the technical support level will see the more bullish bias overturned. And that opens up a gap towards a potential fall towards the $50,000 mark next.

It’s not looking good for risk trades in general going into the Fed. US futures are also marked lower with S&P 500 futures down 0.3% and Nasdaq futures down 0.6%, following yesterday’s drop.

This article was written by Justin Low at www.forexlive.com.