ForexMinute.com — Last 24 hours in the cryptocurrency market brought no good news for Bitcoin, as its value declined sharply after staying in a sideways consolidation for too long. The price however gained a little upside momentum at the lows, rising a little bit to establish a small time correction. However, the selling pressure is still haunting the market. Let’s have a detailed look:
Bitcoin 4H Chart
As you can see the chart above, Bitcoin attempted to establish a bullish correction following the sharp decline towards 234. It however failed to extend it further for it faced further selling pressure near 237, amid no upside volume. As it looks, the price is now keeping an eye on the in term support near 234 which, if broken, could establish a stronger bearish bias in the market.
The technical indicators are somewhat saying the same story. As you can notice, the Bitcoin price has fallen below the 50-, 100- and 200-H SMA, while the 4H RSI has also dropped below 40. The MACD blue curve meanwhile has also dipped inside the negative region. They all confirm a bearish sentiment in the market.
Once again, we are looking at Bitcoin to retest the previous floor near 234 that somewhat also brings a good buying opportunity to enter the market. A bullish bias will be neatly invalidated if this particular level is broken to the downside. If it happens so, the pressure will instantly fall towards 230-232 area, bringing in a stronger bearish sentiment — and some more buying opportunities.
Conversely, staying above the aforementioned in term support will at least ensure a corrective upside bias, with an immediate upside target towards 237. Breaking above this level will ensure a smooth run towards the 239-240 area.