- From a technical standpoint, focusing on the 4-hour time frame, Bitcoin is approaching significant price levels. The current pivot point stands at $27,348.
- If bears take control, Bitcoin could find support around $26,630, followed by $25,260, and further down at $24,556.
- Considering the 50-day Exponential Moving Average (EMA) at $27,500, Bitcoin’s short-term trend may remain positive as long as it stays above this level.
Bitcoin price faced a sudden decline at the beginning of the week and fell to $ 27,500; What will happen now?
Bitcoin Price Encounters a Sharp Decline
Bitcoin is currently trading around $27,540, experiencing a 1% drop on Monday as the week begins. From a technical standpoint, focusing on the 4-hour time frame, Bitcoin is approaching significant price levels. The current pivot point stands at $27,348.
For traders and investors, it’s essential to keep an eye on the immediate resistance level at $28,350. If this resistance is breached, Bitcoin may target the next hurdles at $29,400 and potentially $30,785.
On the other hand, if bears take control, Bitcoin could find support around $26,630, followed by $25,260, and further down at $24,556. Looking at technical indicators, the Relative Strength Index (RSI) is at 48, indicating nearly neutral sentiment. However, it has a slight bearish bias since the RSI is below 50.
Should we be concerned about the Bitcoin price?
Considering the 50-day Exponential Moving Average (EMA) at $27,500, Bitcoin’s short-term trend may remain positive as long as it stays above this level. Chart patterns seem to support a potential upward move for Bitcoin. A 4-hour chart shows an upward channel, with significant support around the 50 EMA at approximately $27,500.
In summary, Bitcoin’s overall trend looks positive as long as it remains above $27,500. If the current momentum continues, and external conditions remain favorable, Bitcoin may soon test and potentially surpass the critical $28,500 threshold.
Traders and investors should stay vigilant, closely monitor technical levels, and adjust their strategies accordingly.
