Bitcoin’s recent failure to break above the $72,983 resistance level has resulted in a downward trend in its price. Despite still trading above the 1-day Simple Moving Average (SMA), the rejection has caused Bitcoin to drop from $71,942 to $66,785 and move below the SMA in both the 1-hour and 4-hour charts. This descent below the SMA indicates a potential shift in market sentiment towards bearish territory.
Current Price and Market Data
At the time of writing, Bitcoin was trading at around $67,635, demonstrating a modest increase of 0.14%. The cryptocurrency boasts a market capitalization exceeding $1.3 trillion and a 24-hour trading volume surpassing $25 billion. However, both its market capitalization and trading volume have experienced a decline of 1.14% and 6.07%, respectively, over the last 24 hours. The charts depict Bitcoin’s descent below the simple moving average, signifying a probable downtrend in its price trajectory.
Analysis of the 1-hour MACD reveals a potential bearish trend for Bitcoin, with MACD histograms trending below the zero line. Furthermore, the MACD line and signal have crossed each other below the MACD zero line, pointing towards a downward movement in the price of BTC. The 1-day chart indicates Bitcoin’s price heading towards the 100-day simple moving average, with the 1-day MACD displaying a formation that suggests an impending bearish trend. As histograms trend below the MACD zero line and the MACD line and signal intersect on a downward trajectory, Bitcoin may be on the cusp of a significant drop.
If Bitcoin follows the projected bearish path, it could target the major support levels of $60,146 and $50,604 after breaking below the current price level. Additionally, there are other support levels beneath $67,635 that BTC might test if it breaches the $60,146 and $50,604 thresholds. Conversely, failure to break below these support levels could signal an upward movement towards the previous resistance level of $73,203. A successful breach of this resistance point could potentially spark a new rally, potentially resulting in a new all-time high for Bitcoin.