Current Situation
Bitcoin’s price took a hit on Friday, dropping from $71,310 to $65,370. It’s currently retracing, but there’s a chance it could continue to fall.
4-Hour Chart Analysis
On the 4-hour chart, Bitcoin is trading below its 100-day moving average and is trying to break below a trend line. If it succeeds, it could start a new downward trend.
- The MACD indicator suggests a potential downward movement.
- The RSI indicator shows that the price is in the oversold zone, indicating a bearish trend.
Daily Chart Analysis
While Bitcoin is still above its 100-day moving average on the daily chart, the MACD indicator is trending below zero. The MACD line and signal line are also approaching zero, suggesting a potential price drop.
- The RSI indicator is slightly below 50%, indicating a possible downward trend.
Potential Scenarios
- Downward Correction:
If Bitcoin falls below its previous low of $64,625.81, it could trigger a bearish trend. - Upward Movement: If Bitcoin holds above its previous low, it could continue to rise towards its previous high of $73,010. If it breaks above this level, it could reach new highs.
