BTC/USD - Weekly Overview
The world’s largest cryptocurrency has again fallen in the hands of bears as BTC has slipped below the crucial support levels of 28K, 26K, and 24K respectively. The magnitude of downfall is around -15% on the 24H-timeframe. The primary reason behind the sharp downfall is said to be a global selloff fueled by the fear of inflation, the prospect of recessions in major economies, and imminent interest rate hikes
On the charts, the price level has broken below the lowest level of the Fibonacci retracement table followed by a negative crossover of MA-10 against MA-25. All these are certainly indications of stringent bearish momentum in the overall market conditions.
The MACD level has also formed a bearish crossover on the daily timeframe along with red bars formation on the histogram
The tension is developing around the crucial support of 20K because in 2017 when Bitcoin hit the mark for the very first time, it fell 80% down for the next 12 months that were followed. An 80% downfall from its current ATH resulted in a price level reaching $13,470. This would be calamitous for entities including MicroStrategy, which recently confirmed that they will start facing margin calls if BTC falls below 21K.
Overall, the new support levels can be formed at 22K and 20K respectively, while, if the much-needed positive momentum kicks back, resistance can be placed at 28K and 30K.
On the charts, the price level has broken below the lowest level of the Fibonacci retracement table followed by a negative crossover of MA-10 against MA-25. All these are certainly indications of stringent bearish momentum in the overall market conditions.
The MACD level has also formed a bearish crossover on the daily timeframe along with red bars formation on the histogram
The tension is developing around the crucial support of 20K because in 2017 when Bitcoin hit the mark for the very first time, it fell 80% down for the next 12 months that were followed. An 80% downfall from its current ATH resulted in a price level reaching $13,470. This would be calamitous for entities including MicroStrategy, which recently confirmed that they will start facing margin calls if BTC falls below 21K.
Overall, the new support levels can be formed at 22K and 20K respectively, while, if the much-needed positive momentum kicks back, resistance can be placed at 28K and 30K.
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