The US$ 47 thousand resistance was not broken, and bitcoin’s bullish movement lost strength, making its price return to a level below US$ 40 thousand.
According to Transfero, a clear sign of a downtrend is that prices are below the 200-period moving average (MMS200) and the 50-period moving average (MMS50).
Despite this, according to the Transfero team, “a slow decline is evidenced, and we can visualize a lateralization of the bitcoin, as analyzed in the Channel”.
Source: TradingView
“This lateralization of prices has influenced investors’ sentiment, who has become a bit more fearful with the expectation of short-term bullishness. This is evident when we analyze the chart below”, said the experts. They point out that the index has hardly changed since the previous week, which draws attention to a more “stable” scenario for BTC, but with a slight downward trend in the short term, as analyzed by the moving averages above.
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Source: alternative.me
According to Transfero, this drop seen in recent days could take the BTC price back to US$ 37.5 thousand, which is the main support of the last three months. “Once again, we may have a good buying opportunity, ” the team of experts stressed. However, they warned that it is critical to watch out for a possible breakout of the highlighted channel, which could give strength to the downtrend and the breakout of the strong support of US$ 37.5 thousand, potentially taking bitcoin to the US$ 30 thousand range.
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