Bitcoin Consolidates Brief Recovery as Selling Pressure Intensifies
Bitcoin (BTC/USD) continued to consolidate a brief recovery in the Asian session. However, it failed to sustain a break above the 26374.02 area after climbing to 26444.95. The recent selling pressure caused BTC/USD to test recent lows around the 26731 and 26526 levels. During the depreciation, stops were triggered below the 26297.92 area, which is associated with selling pressure around the 26638.40 area.
The selloff pushed BTC/USD down to the 25983.78 area, testing a downside price objective related to recent downward pressure at the 27108 and 26795 levels. There is an increasing bearish technical risk that could lead to further downside price objectives at the 25815, 25775, 25668, 25645, 25598, 25331, and 24899 areas. The 24900 area could be at risk again due to a series of lower relative highs.
Stops Accumulating Below Downside Price Objectives
Below the current market, stops are accumulating below several downside price objectives including the 24155, 23270, 23204, 23164, 22949, 22028, 21496, 21242, and 20702 areas. On the other hand, there are areas of technical resistance and potential selling pressure above the current price activity at the 26795, 26929, 27064, 27230, and 27255 levels.
Technicians are closely monitoring three key levels: 29514, 23438, and 20195. These levels are related to selling pressure observed at the levels of 69000, 59249, and 52100. The 50-bar MA (4-hourly) is indicating bullishness above the 100-bar MA (4-hourly) and the 200-bar MA (4-hourly). However, the 50-bar MA (hourly) is indicating bearishness below the 100-bar MA (hourly) and the 200-bar MA (hourly).
Technical Indicators and Price Activity
The price activity is closest to the 200-bar MA (4-hourly) at 26277.51 and the 50-bar MA (hourly) at 26302.17. Technical support is expected around 24440.41, 23270.10, and 22769.39 with stops expected below these levels. On the other hand, technical resistance is expected around 31986.16, 32989.19, and 34658.69 with stops expected above.
In terms of technical analysis, on the 4-hourly chart, SlowK is bearishly below SlowD while MACD is bullishly above MACDAverage. On the hourly chart, SlowK is bearishly below SlowD while MACD is bearishly below MACDAverage.
Sally Ho’s Technical AnalysisView Yesterday’s Trading Analysis
Hot Take: Bitcoin Struggles to Sustain Recovery Amidst Selling Pressure
Bitcoin’s attempt to recover has been met with significant selling pressure, causing it to consolidate rather than continue its upward momentum. The cryptocurrency failed to break above key resistance levels and experienced a selloff that pushed it towards recent lows.
Technical indicators suggest a bearish outlook for Bitcoin, with potential downside price objectives being closely monitored by traders. Stops are accumulating below certain price levels, indicating further potential for a decline. On the other hand, there are areas of resistance that could impede any upward movement.
Overall, Bitcoin’s price action and technical indicators point to a challenging period ahead as it faces selling pressure and struggles to sustain its recovery.
By
By
By
By
By