This time yesterday, Bitcoin was looking strong and was trading above the $60,000 level.

Less than 24 hours later and the charts are looking quite a bit softer. BTC declined yesterday and fell away under both $60,000 and $58,000.

While I’ve been bearish on Bitcoin for quite some time, we have seen it bounce back time and again, so I won’t write it off just yet. That said, we need to be on watch for the next major levels to fall.

We have sen both buying and selling around most round number levels, but the obvious first downside target for me is $50,000. That represents a further 8.5% fall from where price sits currently. As we know, that’s not much in for a day in the life of any crypto.

The big downside level for me still is that $44,400 marker. If that level drops I truly think that’s where the floodgates can open right up and we can see a big collapse. That represents a 25% correction from the highs and as we’ve seen in the past 75% falls are not unusual.

Looking to a more bullish scenario and price will have to reclaim $58,000 to hold up. I suspect price will recover and bounce, the main question will just be if it can hold on. A double top is a bearish outcome here and one of the main ones to be watching for.

As I’ve been saying, I am very nervous with price at the highs and won’t be involved. Pending regulation will be big. Even taking short positions in Bitcoin is tricky given its tendency to bounce back. So for now, I’m out and just observing.