Bitcoin downtrend triggers technical support pursuit

Today, Bitcoin’s price is experiencing a downturn, currently trading at $63,128 after reaching a low of $62,720. Throughout the trading week, the cryptocurrency’s value peaked on Wednesday, touching its 100-bar moving average on the 4-hour chart at approximately $68,137.

Since reaching this high, the price has progressively decreased, with today’s drop nearing the rising 200-bar moving average on the same chart, positioned at $62,393. Just beneath this average lies the 50% midpoint of the price increase from the February 24 low, at $62,188, indicating that the resistance at the 100-bar moving average has held firm.

As the price approaches the support levels defined by the 200-bar moving average and the 50% retracement, these markers become critical for both buyers and sellers to watch. A move below these support levels could signal a stronger bearish trend, while finding support at these levels and subsequently rising could shift the bias back towards bullish, with the next target being the 100-bar moving average.

In the midst/near the middle of these levels is the 38.2% retracement of the uptrend from February 24, marked at $64,927, serving as a battleground for buyers and sellers. This dynamic illustrates how technical indicators are predominantly influencing the market’s direction. Use those levels going forward to define the bullish or bearish bias.

This article was written by Greg Michalowski at Source