Bitcoin is trading within the $104.4K range.
The market has seen 24-hour liquidations totalling $83.92 million worth of BTC. The bear trap within the crypto market holds the assets in the red candle territory. With the fear and greed index value sitting at 48, the active market sentiment is neutral. The largest asset, Bitcoin (BTC) price chart, reflects an intense downtrend; currently, the asset has lost over 1.15%. BTC price had a series of recovery attempts, and breaking crucial resistance levels ahead could confirm an uptrend. The asset opened the day trading at a high of $105,983. Later, the bearish encounter has pulled the price back to the $103,396 range. At press time, Bitcoin trades at $104,430, and its market cap reached $2.07 trillion. Also, the daily trading volume of the asset has dropped by 4%, touching $51.52 billion. As per Coinglass data, the market has witnessed a 24-hour liquidation of $83.92 million worth of Bitcoin.
Will the Bears Keep Dragging Bitcoin Down?
BTC’s technical chart analysis displayed that both the Moving Average Convergence Divergence line and the signal line have crossed below the zero line. This crossover indicates that the asset is in a strong bearish phase, with the price trend weakening. If the MACD starts to rise, it could hint at a potential reversal.
BTC chart (Source: TradingView)
Moreover, the capital flow of the asset is worth noting, with the Chaikin Money Flow (CMF) indicator, which is positioned at 0.03, suggesting slight bullish buying pressure in the market. Also, the money is flowing into the asset. While inferring the four-hour trading window, Bitcoin is trading on the downside, facing a challenge to regain the upward momentum. If the asset loses the $104.5K support, it might trigger the death cross emergence to a potential drop toward the former low at around the $103K mark. Conversely, assuming Bitcoin’s reversal, the asset might immediately climb and test the resistance at the $104.6K range. In a highly bullish context, the asset could break the $105K threshold, and it may invite the golden cross to unfold, supporting BTC to reclaim its recent highs. Furthermore, the daily relative strength index (RSI) of BTC is found at 41.79, which signals that the asset is in a neutral to slightly bearish zone. This level may hint at continued downside unless the momentum shifts upward. Besides, the asset’s Bull Bear Power (BBP) value of -1,141.46 is negative, implying that bears are dominant in the market, pushing prices lower.
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