Bitcoin Battles to Hold $66,500 Support—Faces ‘Vertical Plunge’ if Broken

▲ Bitcoin (BTC)

Bitcoin (BTC) has failed to defend the key support level of $68,500 and has reversed into a downtrend, staking everything on building a final line of defense to prevent further sharp declines.

According to crypto media outlet NewsBTC on February 18 (local time), Bitcoin was unable to maintain stable movement around the $68,500 level and entered a new downward wave. After falling below the $67,800 support line, selling pressure intensified, pushing the price down to the $67,200 range. Notably, this decline has heightened technical concerns as the price dropped below the 61.8% Fibonacci retracement level of the previous rally from the $65,072 low to the $70,935 high.

Currently, Bitcoin is trading below the $67,500 level and the 100-hour simple moving average (SMA), remaining in bearish territory. Technical analysts indicate that a descending channel with resistance around $68,850 has formed on Bitcoin’s trading chart. If Bitcoin manages to hold the $66,500 support level firmly, it may attempt a new rebound; however, the short-term resistance near $68,000 remains particularly strong for now.

For a bullish reversal, Bitcoin must decisively break above the $68,850 resistance and close above that level. If achieved, the price could move past the $69,200 resistance zone and lay the groundwork to retest the $70,000 mark. The next bullish targets would be $71,200 and $72,000, but current market momentum remains tilted to the downside.

If Bitcoin fails to overcome the $68,850 resistance, further price declines appear inevitable. The first major support lies at $66,500, which aligns with the 76.4% Fibonacci retracement level of the previous upward wave. Should this level collapse, the price could sequentially fall toward $66,000 and $65,000, with short-term risks extending to $64,200 and the final stronghold at $63,500.

Technical indicators show the Moving Average Convergence Divergence (MACD) attempting to gain momentum in bullish territory, while the Relative Strength Index (RSI) remains below 50, reflecting a market still dominated by sellers. Global investors are closely watching whether Bitcoin can break out of the current descending channel and achieve a trend reversal, or slip below support levels and fall into a deeper correction.

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