Bitcoin Declines; Approaching Lower Support at $42K
Bitcoin will need to remain above $40,000-$42,000 in order to resume the uptrend towards $50,000-$55,000.
Updated Mar 6, 2023 at 3:41 p.m. UTC
![Bitcoin four-hour chart](https://www.coindesk.com/resizer/4buBDRuBV12GiJa7kr53fx5M2w0=/567x299/filters:quality(80):format(jpg)/cloudfront-us-east-1.images.arcpublishing.com/coindesk/GVFOPIPQ45H7DEMSQYXJ65LUXE.png)
Bitcoin (BTC) sellers were active over the past few days as short-term overbought signals appeared on the charts. The world’s largest cryptocurrency by market value was trading around $44,000 support at press time and is down about 2% over the past 24 hours.
The next level of support is seen at the $42,000 breakout level, which could stabilize the pullback.
- The relative strength index (RSI) is approaching oversold levels on the four-hour chart, similar to Aug. 3, which preceded a price bounce.
- On the daily chart, the RSI is neutral after reaching overbought levels over the past two weeks.
- Bitcoin will need to remain above $40,000-$42,000 in order to resume the uptrend towards $50,000-$55,000.