: The price of Bitcoin is currently declining and showing bearish signs. It is trading below the $30,000 level and the 100 hourly moving average. There is a bullish trend line forming with support near $29,720. If the price fails to clear the $30,000 resistance level, it could continue to move down towards the $29,650 and $29,500 support levels. However, if it manages to break above the $30,400 level, it could start a fresh increase towards $30,850 and $31,200. Technical indicators suggest a bearish trend with the MACD in the bearish zone and the RSI below 50.
The value of Bitcoin has recently dipped, following a major rejection as it failed to break the significant $40,000 resistance. As a result, there appears to be a great deal of bearish pressure accumulating in the market right now as negatives outweigh positives. One of the possible reasons behind the correction could be due to speculation driving the prices far too high, unsupported by fundamentals; creating investor anxiety and resulting in profits being taken. Furthermore, restrictions placed on Bitcoin mining and trading by the Chinese government have vastly reduced not only price levels, but overall sentiment. The RSI has fallen to an oversold position and the MACD is positioned under the signal line,signaling a possible momentum change in the near future. It looks likely that Bitcoin could be heading towards more losses in the following trading sessions, with $30,000 being a key support level that may provide cushioning. Nonetheless, being the unpredictable market that it is, a reversal could still be on the cards if the support materializes and saves it from reaching fresh lows. Thus, caution should be exercised when making investing decisions.
