Bitcoin's price has dropped again, and although there is no significant panic in the market, technical indicators suggest potential worsening.
Current Bitcoin Support Levels
As of now, Bitcoin has slipped below its 20-day moving average, which had previously provided short-term support at around $118,100. Losing this level, while not catastrophic, tilts the balance toward the lower boundary, currently at approximately $116,300.
Price Decline Prospects
If market conditions do not improve soon, this level will be the first significant test. Should there be a more aggressive movement downward, the price could fall to $112,000, aligning with the outer limit of expected volatility. On the weekly and monthly time frames, the lower boundary of expectations is around $76,000.
Recent Market Fluctuations
On the monthly chart, the midline, which often marks the long-term trend, stands at approximately $77,000 per Bitcoin, while the lower Bollinger band, located significantly below current levels, is situated at around $35,000. This figure serves as the technical bottom of the channel should the market unwind dramatically.
The current situation in the Bitcoin market requires careful analysis. While there is no cause for alarm, it's important to be aware that if demand continues to weaken, there is a risk of reaching lower price levels that should be monitored.
