Bitcoin falls below $27,000 – I’MicroStrategy company, known for its bitcoin accumulation strategy, wants to contribute to the development of Bitcoin by developing business wallets. In parallel, the bitcoin price drops below $27,000, and shows a fall of almost 1% in 24 hours.
This Bitcoin price analysis is brought to you in collaboration with CryptoTrader and its algorithmic trading solution finally accessible to individuals.
Bitcoin price drops 1% in 24 hours
Day after day, Bitcoin continues to show red. Indeed, the bitcoin price 1% drop in 24 hoursand of 5% in seven days :
In three months, the price still shows a 9.5% increase. BTC is in 60% increase in six months. The BTC/ETH pair stabilize for a week. However, the pair is in increase of nearly 5% in one month.
The 200-period moving average could support the price of Bitcoin
There moving average at 200 periods (MA 200) is highly regarded by market operators. This one did support during the bear market at the end of 2018, and in 2020, during the Covid crash :
During the bear market of 2022, the price has dropped below this moving averagethen she did resistance few weeks later. In March 2023, the price broke the MA 200 and joined the polarity area located at $30,000. With the recent fall, the price has returned to the level of the MA 200, and this one support. In fact, the price would have to continue to move above this indicator to avoid sliding towards the lows marked at the end of 2022.
Bitcoin price must react at the support level at $26,700
BTC blocked against the bearish trendline and the resistance at $27,500. The course is back at the level of the bracket at $26,700. Buyers must absolutely defend this level:
If the buyers fail, the price could fall towards the next bracket at $25,000i.e. an additional fall of 6%. On the other hand, if the bulls defend the support, the price could return to the level of the resistance at $27,500. The price will have to close above $27,650 to change dynamics in 4H. Thus, the price could join the next resistance at $28,500.
The RSI fails to break the bearish trendlinebut the trend seems to be heading back up since the close above 51. Also, to confirm momentum with rising lows and highs, the RSI must close above 59.
Finally, the course of Bitcoin has been feverish for a few weeks, but it maintains the moving average at 200 periods on a weekly basis. This could continue to provide support in the future. However, if the bulls fail, the price could slide towards the lows marked around $16,000. In the short term, BTC must hold the support level at $26,700.
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