Bitcoin Under Pressure; Lower Support at $30K-$35K

Bitcoin (BTC) remains in its short-term downtrend begun in November, currently off 40% from its all-time high near $69,000. The cryptocurrency was testing initial support at $40,000 at press time, although stronger support is seen at $30,000, which was roughly the bottom of 2021's selloff.

Momentum signals remain negative, indicating consistent selling pressure over the past month. Further, BTC was unable to break above its 40-week moving average at $45,724, which presents a bearish bias.

Still, the relative strength index (RSI) on the weekly chart is rising from its most oversold level since March 2020. That could keep short-term buyers active so long as the $30,000 support level holds.

If the $28,000-$30,000 range is broken, prices could experience additional downside, similar to the 80% peak-to-trough decline during the 2018 bear market.

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Damanick Dantes

Damanick was a crypto market analyst at CoinDesk where he wrote the daily Market Wrap and provided technical analysis. He is a Chartered Market Technician designation holder and member of the CMT Association. Damanick is also a portfolio strategist and does not invest in digital assets.

Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.