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In the earlier 24 hours, bears strengthened their maintain on BTC worth, which fell from $29,320.13 to $28,933.74. At press time, BTC was buying and selling at $29,107.02, down 0.59% from its latest excessive. The multi-contact level trendline, originating from the 2023 backside, is now below severe scrutiny as bearish momentum threatens to interrupt by.

Bitcoin severely difficult multi-contact level trendline from 2023 backside. Move by Aug low can be bear sign or bear lure. $BTC pic.twitter.com/FR5eqwgJis

— Peter Brandt (@PeterLBrandt) August 16, 2023

However, there’s hope for Bitcoin lovers. The $28,933.74 assist stage represents an important line of protection. If bears breach this stage, the subsequent assist is round $28,800. Significantly, this stage has traditionally acted as robust assist and will appeal to consumers to stop further decline.

Moreover, the market capitalization of Bitcoin has dipped by simply 0.62% to $566,398,762,995 throughout this recession. In distinction, its 24-hour buying and selling quantity surged by 20.25% to $14,172,016,761. This signifies that there’s nonetheless strong curiosity in BTC, even amid the bearish momentum.

BTC/USD technical Indicators 

The stochastic RSI, with a studying of 19.40 and pointing downward, means that the bearish momentum is at the moment robust. Consequently, promoting stress could proceed quickly, pushing costs decrease. However, a bullish reversal stays potential beneath the oversold threshold of 20.

Source-TradingView

Meanwhile, the RSI, having shifted beneath its sign line with a studying of 42.93, signifies that the market sentiment leans in the direction of bearishness. Hence, an additional worth decline could also be anticipated because the RSI has not but reached oversold ranges.

Besides these, the Chaikin Money Flow (CMF), at the moment at a constructive studying of 0.14, suggests that there’s nonetheless some shopping for stress out there. This pattern may drive a bullish reversal, because the shopping for stress could improve costs.

Bullish restoration or bearish breakdown?

As Bitcoin exams the waters at this important assist stage, a restoration hinges on how the cryptocurrency responds. If BTC worth bounces again above the $29,200 resistance stage, it could sign a shift in sentiment, attracting extra consumers and resulting in a bullish restoration. However, we could witness additional worth declines if the bears breach the $28,933.74 assist stage.

In conclusion, whereas the bearish momentum poses a problem, the potential for a bullish rebound stays. By monitoring Bitcoin’s response to the present assist ranges, buyers can higher perceive the cryptocurrency’s future trajectory.

The introduced content material could embody the non-public opinion of the creator and is topic to market situation. Do your market analysis earlier than investing in cryptocurrencies. The creator or the publication doesn’t maintain any accountability on your private monetary loss.