Bitcoin (BTC/USD) Extends Pullback to Recent Lows
Bitcoin (BTC/USD) has continued its recent pullback, reaching new lows in the Asian session. The selling pressure intensified around the levels of 26731 and 26526, causing the pair to drop below the area of 26297.92. This downward movement aligns with the selling pressure at 26638.40. During the selloff, BTC/USD tested the 25983.78 area, which corresponds to recent downward pressure at the levels of 27108 and 26795.
As bearish technical risk increases, there is a possibility of testing additional downside price objectives at areas like 25815, 25775, 25668, 25645, 25598, 25331, and 24899. Further below the market, stops are accumulating below downside price objectives such as 24155, 23270, 23204, 23164, 22949, 22028, 21496, 21242, and 20702.
Technical Resistance and Key Levels to Watch
Above the current price activity, there are areas of technical resistance and potential selling pressure at levels like 26795, 26929, 27064, 27230, and 27255. Technicians are closely monitoring three key levels: 29514, 23438, and 20195. These levels are associated with previous selling pressure at levels of 69000, 59249, and 52100.
The technical indicators show that the 50-bar MA (4-hourly) is indicating bullishness above both the 100-bar MA (4-hourly) and the 200-bar MA (4-hourly). However, the 50-bar MA (hourly) is indicating bearishness below both the 100-bar MA (hourly) and the 200-bar MA (hourly).
Price Analysis and Support/Resistance Levels
The price activity is closest to the 200-bar MA (4-hourly) at 26272.33 and the 50-bar MA (Hourly) at 26432.71. Technical support is expected around 24440.41, 23270.10, and 22769.39, with stops anticipated below these levels. On the other hand, technical resistance is expected around 31986.16, 32989.19, and 34658.69, with stops anticipated above.
Technical Indicators
On the 4-hourly chart, SlowK is bearishly below SlowD, while MACD is also bearishly below MACDAverage. However, on the 60-minute chart, SlowK is bullishly above SlowD, and MACD is bullishly above MACDAverage.
Sally Ho’s Technical Analysis
You can read Sally Ho’s Technical Analysis for a more in-depth look into yesterday’s trading analysis.
Hot Take: Bitcoin Extends Pullback as Bearish Pressure Grows
The recent pullback in Bitcoin has continued as selling pressure intensifies, pushing the cryptocurrency to new lows. With key levels being tested and bearish technical risk increasing, BTC/USD may face further downside in the near term. Traders should pay attention to areas of technical resistance and potential selling pressure, as well as important support levels. Technical indicators suggest mixed signals, with bullishness observed in some timeframes and bearishness in others. Overall, the market sentiment remains cautious as Bitcoin faces ongoing volatility. It will be crucial to monitor price movements and stay updated with expert analysis to make informed trading decisions.
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