The market’s prospective future trajectory has traders and investors worried after the biggest cryptocurrency, Bitcoin, suffered a sharp decline in value in the past few weeks. The once unstoppable boom that catapulted the cryptocurrency to unparalleled heights has now turned into a downward trend, as the price of Bitcoin drops below $100,000.
Given this decrease, many are wondering if the bullish impetus that has driven Bitcoin’s Plummeting, decline for years is beginning to fade. As the market reacts to a myriad of internal and external factors, it is critical to understand what has caused this decline and whether the bulls are losing control.
Further Bitcoin Price Drop
After going below the $102,000 level, the price of Bitcoin’s Plummeting: has not rebounded and has continued to plummet. Bitcoin gained negative momentum as it fell below the $100,000 and $98,000 thresholds. The price increased even as it fell below $96,500. At the moment, the price is recouping its losses after hitting a low of $95,586. The hourly chart for the Bitcoin/USD pair reveals a major negative trend line forming with resistance at $98,500.
The price of Bitcoin has fallen below the $100 hourly simple moving average and $102,000. There might be some resistance to the upside at the $98,500 mark. The $23.6 per cent Fibonacci retracement level of the fall from the $108,295 swing high is close by, at $95,586.
In this case, Bitcoin’s fall might attempt to rise above the $103,400 barrier, which is either the $108,295 swing high or the 61.8% Fib retracement level of the fall from the $95,586 low. The price potential of $105,000 is contingent upon the realization of further gains.
More Downsides In BTC?
If the $98,500 support level remains intact, Bitcoin’s price can continue to decline. Downside support is available immediately around the $96,200 level. An important starting point for support is $95,500. The next possible support area is now at $93,200. Near the $92,000 level, prices may find support if they keep falling. Hourly MACD – The MACD is now gaining pace in the bearish zone. Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level. Major Support Levels – $95,500, followed by $93,200. Major Resistance Levels – $98,500 and $100,000.
Bulls Losing Control?
Everyone is wondering if the bullishness is over because of Bitcoin’s fall. A “bullish market” is characterized by rising prices and investor enthusiasm. Institutional backing, retail enthusiasm, and Bitcoin’s perceived value as a store of value have all contributed to the cryptocurrency’s meteoric rise. As Bitcoin ages, it can see a consolidation or a long bear market.
Bitcoin’s price chart indicates a decline. Important support has been broken and the price has made no more gains. A technical indicator of market momentum, the relative strength index (RSI) has indicated overboughtness throughout the price spike, suggesting a correction is imminent. A lack of enthusiasm is confirmed by the recent drops in trading volume, which suggest that regular investors are scared to join the market as prices fluctuate.
Summary
Bitcoin’s decline persists, and many are wondering if the bulls are starting to lose steam. Bitcoin has recovered from current falls driven by macroeconomic factors, regulatory changes, and internal market dynamics, but it has also recovered from previous falls. An increasingly stable and developed market might be on the horizon, marking the end of unbridled exponential growth. Keep a close eye on cryptocurrency developments and be wary as Bitcoin’s Decline responds to both internal and external factors. Bitcoin’s Plummeting: Once the market recovers and Bitcoin adjusts to the new financial reality, the bulls will have a better chance of regaining control.
