BTC Bears are back in town, as the price of the cryptocurrency falls to a key resistance level of $21,000. Bitcoin has been rapidly falling in value.
Bitcoin’s price has progressively declined below the 200-weekly moving average to a trading level (WMA). The token’s value has plummeted by more than 14% in the previous week, and it is now trading at $21,160.77.
BTC Bears Are Back In Town
The presence of bulls in prior weeks prompted BTC’s price to rise to almost 25,200. Following the devastating punch of the bearish crypto market, its value stood at BTC’s new all-time high for more than two months. However, the price’s increasing trend is abruptly halted this week. The bears are back in town, and the entire trend has shifted.
Bitcoin’s price has moved away from its overvalued zone. This movement resulted in a pullback from its immediate resistance level earlier this week. Furthermore, whales and other long-term investors have been known to sell their holdings. During this brief sell-off, BTC fell and traded between $23,000 and $24,000.
Along with the price of Bitcoin, the price of altcoins and other cryptocurrency tokens has fallen. As the negative price trend accelerates, the whole cryptocurrency market has turned red. The market sentiment is now negative. The crypto market Fear and Greed Index, which dropped from 47 to 30 last week, is proof of this.
The bulls are expected to retreat after the sell-off reduces the price of BTC. The bears appeared to handle the trending pattern. The cost is lower than the $23,000 200-weekly moving average (WMA). Notably, if bears prevail, the price might go below $21,000.
BTC Price Drop
In the BTC price pattern, the MVRV 7-day Detrend Oscillator has recently demonstrated a negative divergence flow. Such a pricing pattern indicates that prices will fall in the future. As a result, there is still a potential that Bitcoin’s price may go below the $21,000 to $20,000 area.
Other factors have influenced the crypto market’s success. The Federal Reserve’s intentions to drastically hike interest rates in the coming months have given a deadly blow to the cryptocurrency boom. Significant sell-off pressure, as well as exchange inflows, are further contributing factors.
Certain crypto experts in the industry have expressed their opinions on Bitcoin’s present price trend. BigCheds, Crypto Tony, Michael van de Poppe, and Crypto Birb are among those that predicted the BTC price will go below the $22,700 mark in advance. According to them, the 200-WMA will assist to raise the level.
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