After 4 weeks of continuous sideways trend, BTC plummeted by ~11.50% in the last 7 days alone, thus the largest weekly decline of 2022. It formed a big bearish candle on the Weekly TF and closed below its 50-WEMA, this depicts a decisive breakdown below major support. At the time of writing, BTC is trading slightly above $41,500.
On the Daily TF, BTC is on the verge of giving a Death Cross as its 50-DEMA is crossing below its 200-DEMA which suggests that further downside rally can continue in the coming weeks with minor pullbacks.
On the downside, the nearest support is presented by its 0.786 Fibonacci Retracement level which is placed at $38,500, if this level is broken decisively, the next support is present at $36,000. On the higher side, the immediate resistance is present at $42,800, once BTC closes above this level on the daily basis, the next resistance is present at $44,750 followed by $47,000.
On the Daily TF, BTC is on the verge of giving a Death Cross as its 50-DEMA is crossing below its 200-DEMA which suggests that further downside rally can continue in the coming weeks with minor pullbacks.
On the downside, the nearest support is presented by its 0.786 Fibonacci Retracement level which is placed at $38,500, if this level is broken decisively, the next support is present at $36,000. On the higher side, the immediate resistance is present at $42,800, once BTC closes above this level on the daily basis, the next resistance is present at $44,750 followed by $47,000.