BITCOIN PRICE ANALYSIS-$26,000: Is BTC Approaching a Bearish Paradise?

BTC price sheds week's gains after surpassing $28,000.

Bitcoin took a hit in the last 24 hours, dropping over 4%. This wiped out the gains it had made after Grayscale's recent victory against the US SEC. To make matters worse, the release of data showed that the United States' GDP growth for the second quarter fell short of expectations, further contributing to the decline.

On The Daily Chart:

Bitcoin recently retraced all its gains and tested a crucial support area around $25,650. This price action raises concerns of a potential further decline toward the $25,000 psychological level in the short term. 

BTC's attempt to break above the resistance at $28,000 was unsuccessful, triggering a renewed downtrend with increasing bearish momentum as it dipped below the $27,000 support level. The decline was pronounced as it breached the $26,500 level, even briefly piercing below $26,000. A temporary bottom was established near $25,655, leading to a consolidation phase. Currently, Bitcoin is trading beneath both the $26,600 mark and the 200-hourly SMA.

On The 4-Hour Chart:

Looking at the 4-hour chart, Bitcoin's price is encountering a notable obstacle in the form of the 200-period EMA. Whenever it approaches this line, it struggles to maintain its position, facing selling pressure.

Examining this on the four-hour timeframe, we can see that Bitcoin has already breached the 61.8% Fibonacci retracement level, specifically at the $26,300 mark. It now appears to be on a course toward the next crucial support level situated at $25,800. This particular level aligns with the 78.6% retracement on the Fibonacci scale. Nevertheless, the downward momentum continues unabated, showing no indications of coming to a halt.

According to Coingabbar Price Analysis, the market capitalization of BTC stands at $505,873,301,934. The 24-hour trading volume is approximately $19,382,228,909.

KEY LEVELS :

RESISTANCE LEVEL : $26,400-$26,800

SUPPORT LEVEL : $25,600-$25,200

Should we expect additional declines in the crypto market given the recent 4.70% drop and diminishing enthusiasm surrounding the Spot Bitcoin ETF? Are we potentially facing more substantial losses in the coming days, and is this an appropriate time to contemplate selling Bitcoin? Please share your views in the comment box below.

Disclaimer: Crypto is not regulated and can offer considerable risks. There may be no regulatory remedies available in the event of any losses resulting from price analysis. As a result, before engaging in any transactions involving crypto products, each investor must perform in-depth examination or seek independent advice.