This is the first support line for Bitcoin if the downward movement prevails Cryptocurrency scrgruppen

Bitcoin price has been consolidating below the $28,000 level over the past few days, failing to continue its momentum towards the $30,000 resistance level. The price is currently testing a key area and should be watched closely.

Technical Analysis

by Idris

Daily chart

BTC price is between the 50-day and 200-day moving averages on the daily chart, with the former located around the $27,000 mark and the latter near the $28,000 level.

It is currently retesting the $27,500 support level, and a breakout could lead to a further decline to the 50-day EMA in the short term. On the other hand, a bullish bounce and break above the 200-day moving average could finally pave the way for the market to target the critical $30,000 resistance area again.

Source: Trading View

Four-hour chart

Looking at the 4-hour time frame, it appears that the $27,500 support level is about to be broken. The RSI is also showing values ​​below 50%, indicating that momentum is now in favor of sellers in this time frame.

In the event of a downside breakout, the $26,000 area would be the first potential target, followed by the $25,000 area, which could be considered a last resort for buyers. Therefore, things are not looking good for BTC at the moment, and there could be a collapse on the horizon.

Source: Trading View

Onchain analysis

by Cheyenne

Bitcoin’s latest attempt to rise to higher prices hit a major hurdle and was rejected. Interestingly, there has been a noticeable shift in sentiment among US investors and traders, as evidenced by the outstanding Bitcoin Coinbase indicator. This metric measures the percentage difference between the Coinbase Pro price and the Binance price. Positive positive values ​​indicate stronger buying pressure among US investors on Coinbase, while negative values ​​indicate selling pressure.

The chart shows that this metric has been trending upward along with Bitcoin’s recent rally, indicating increased buying activity among US investors. However, the rapid decline in this measure suggests that US investors played an important role in the recent market decline. If this trend continues and the gauge drops below zero, it could indicate further declines in the market in the coming weeks.

This shift in sentiment among US investors is a crucial indicator, underscoring the need for market participants to closely monitor this metric as it can provide valuable insights into the future market direction.

Source: Cryptoquant

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Cryptocurrency charts By TradingView.

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