Bitcoin Breaks Down Below $63K as Bear Flag Targets $60K
Bitcoin price has broken out of a bearish bear-flag/channel structure and is now holding below $63K. On the short-term chart, BTC fell through the 100-day simple moving average (100 SMA) during the breakdown, reinforcing the bearish bias.
If traders treat the move as a channel, the measured target points to a drop toward the ~$59,600 horizontal support—described as the next key line before $57K and possibly the low-$50Ks. A potential bullish counter-signal would be an RSI recovery: a cross back up through the descending trendline on the Relative Strength Index to suggest a base under the bear flag.
On the daily chart, the article flags a further risk of an “accelerated slide” if major supports fail. Support is expected from the bull-market trendline and, if reached, possibly an additional bull-market trendline level.
The weekly outlook is more concerning. With three days remaining in the week, the current weekly candle is described as “enveloping” the previous week’s candle. If that pattern persists into Sunday, the next weekly candle could turn red and push BTC to a new lower low, with downside discussed toward $50K—while bulls still point to holding the 200-week SMA as the main stabiliser.
Key levels to watch: $63K (breakdown zone), ~$60K / $59,600 (measured target), $57K, and $50K (weekly downside scenario).
Bearish
The article’s core message is that Bitcoin has already broken down from a bearish bear-flag/channel and is holding below $63K, with BTC also falling under the 100 SMA on the short-term chart. In past market phases, similar “structure break + moving-average loss” setups often lead to a liquidity sweep toward the next measured target (here, ~$59.6K) before traders either stabilize the downtrend or sell further.
Short-term impact: watch for momentum continuation. If $63K stays lost and BTC cannot reclaim it quickly, traders may front-run the next support ($59.6K) and place downside hedges. The RSI “reclaim” scenario mentioned could trigger short covering and a dead-cat bounce, but it is conditional.
Medium/long-term impact: the weekly “enveloping” candle warning suggests a higher probability of a new lower low toward $50K if weekly support (notably the 200-week SMA and trendline levels) fails to hold. This kind of weekly breakdown typically increases volatility and reduces bid strength, making rallies more sellable.
Overall, the balance of evidence in the piece favors continuation lower unless BTC quickly regains key levels and confirms a reversal via RSI and trendline structure.