Bitcoin Turns Lower From Bearish Trendline, Support at $35.5K

Sellers look to regain control after bulls' failure to break through technical resistance.

AccessTimeIconFeb 3, 2022 at 11:44 a.m. UTC
Updated Feb 9, 2022 at 5:14 p.m. UTC
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Omkar Godbole was a senior reporter on CoinDesk's Markets team.

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Bitcoin failed to penetrate critical technical resistance earlier this week and is now staring at a support level of $35,500.

  • Prices dropped 4.6% on Wednesday after buyers failed to push through the trendline connecting highs reached in November and January.
  • The top cryptocurrency was changing hands near $36,400 at press time, representing a 1.3% drop on the day.
  • The reversal lower from the bearish trendline in the wake of below-50 or bearish readings on the daily and the four-hour chart relative strength index indicate an end of the corrective bounce and resumption of the broader downtrend.
  • Support is seen at $35,500 – the horizontal line on the four-hour chart – followed by next support level of $32,933, the low reached on Jan. 24.
  • A convincing UTC close above the two and a half-month downtrend line is needed to invalidate the immediate bearish bias.

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Omkar Godbole was a senior reporter on CoinDesk's Markets team.


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Omkar Godbole was a senior reporter on CoinDesk's Markets team.