The bears are holding the market strong, sweeping the majority of the assets into the red zone. With the asset price losing momentum, the BTC market faces downside pressure. After a series of ups and downs, the price chart illustrates an intense downtrend, and currently the asset lost by over 0.92%.
BTC price has faced multiple rejections, and continues struggling to step out of the bear phase. The asset opened the day trading at a high of $116,615. With the bearish encounter, the price has slipped to a low of $115,141. Consequently, BTC has been in the neutral zone as the Fear and Greed Index stays at 48.
At press time, the largest asset, Bitcoin, traded at around the $115,761 level. Besides, the daily trading volume has dropped by over 20.44%, reaching $33.32 billion. During this timeframe, the market has witnessed an event of 24-hour liquidation of $38.05 million worth of BTC, according to the Coinglass data.
In addition, the Ali’s chart highlights that Bitcoin is testing a key support at $115,440, as per the Pricing Bands. If it holds above this level, the next upside target could be around $137,300. But if BTC breaks below, the price might slide toward the $93,600 mark, signaling potential weakness.
Bitcoin’s technical indicator analysis reports that the Moving Average Convergence Divergence line is found below the zero line, while the signal line is above zero. This indicates a mixed signal; the overall momentum is bearish, but also shows a trace of bullish strength. For a clear direction, the MACD needs to cross above the zero line.
Moreover, it is crucial to note the capital flow with the Chaikin Money Flow indicator, which is positioned at -0.07, suggesting a slight selling pressure in the market. As the value is negative, the money is flowing out than in. If CMF turns positive, it would hint at a renewed buying interest in BTC.
While zooming in on the four-hour price graph, the asset is trading on the downside. The price faces a challenge moving upward, and hence falling toward its key support range at $115,754. Bitcoin’s extended bearish correction might initiate the death cross to take place, leading to a drop to $115,747.
Conversely, assuming Bitcoin’s bullish turnaround, the price might rise and test the immediate resistance at the $115,768 level. With a strong upside correction, the potential bulls could trigger the golden cross to unfold. It would push the asset’s price to break past the $115,775 mark.
Furthermore, the daily Relative Strength Index (RSI) value of BTC at 47.26 is below the neutral level. The asset is currently showing a slight bearish trend, but it is not at an extreme. A move above 50 would reinforce a positive trend, but a drop to 30 suggests it is oversold. The negative Bull Bear Power (BBP) reading of -1,036.79 points to strong bearish momentum for Bitcoin, implying the potential for further price drops.
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