Bearish View
Bullish View
(Click on image to enlarge)Bitcoin price continued its downtrend as the recent rally took a breather. After peaking at 99,767 last week, the BTC/USD pair has dropped to 92,000 as some traders started to take profits. It has dropped to its lowest point since Wednesday last week.Bitcoin’s retreat happened a day after Wall Street investors exited some of their ETF trades. Data show that ETFs had a net outflow of over $438 million on Monday, a trend that could continue as the weakness in the crypto market. These funds have over $102.2 billion in assets, a remarkable performance.Analysts note that it is not uncommon for cryptocurrencies and other assets to pull back after nearing a key resistance level. For example, in October, the coin pulled back after rising and retesting 73,788, its highest level in March this year.Most experts believe that the coin has more room to grow as companies start to accumulate the coins following MicroStrategy’s lead. Just this week, MicroStrategy bought over 5,000 more coins, making it the biggest holder of the coin. This buying has pushed its market cap to over $72.3 billion, making it one of the biggest companies in the US.Bitcoin also pulled back as investors reacted to the hawkish Federal Reserve minutes. These minutes showed that the bank will likely focus on cutting gradual as inflation heads to the 2% target.
BTC/USD Technical AnalysisThe daily chart shows that has been in a strong bullish trend in the past few months. It has moved from below 16,000 in 2022 to almost 100,000 today.The pair has now pulled back from the year-to-date high of 99,767 last week to about 92,000. Oscillators like the Percentage Price Oscillator (PPO) and the Relative Strength Index (RSI) have pointed downwards.It has moved below the Weak Stop & Reverse of the Murrey Math Lines. Therefore, there is a risk that the coin will continue falling in the near term, potentially to the strong pivot release point at 87,500.Conversely, a move above the key resistance level at 93,000 will invalidate the bearish view and point to more upside.More By This Author:BTC/USD Forex Signal: Path To 100,000 Remains IntactShiba Inu Price Prediction: Here’s Why SHIB Is About To Fly Workday Stock Price: Could WDAY Hit $300 After Earnings?
