Resistors in series – The price of Bitcoin (BTC) is already showing signs of weakness, as the cryptocurrency has only just recovered $20,000.
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Bitcoin price under pressure from whales
After opening the day at $20,340, the Bitcoin price forayed below $20,000 today, October 5, 2022. The cryptocurrency subsequently managed to rally back to $20,000. She is trading at $20,089 at the time of writing this article. Its price is currently recording a daily loss of 1.29%.
The recent reconquest of $20,000 was therefore already followed by a rejection that shook this level. Data from Whalemap shows the existence of a resistance zone, which the concentration of whales forms to $20,380. On the other hand, Bitcoin is enjoying support at $19,174.
Technical resistance for almost six months
Analyst Matthew Hyland shared a chart of Bitcoin price on a daily basis, alongside the daily RSI. It highlights the existence of resistance for the RSI around 62since April of this year.
The daily RSI may soon come up against this resistance. Technically, the markets should therefore expect a local peak soon, followed by further declines.
Bitcoin Price Faces Monthly Resistance
Trader Rekt Capital shared a chart of the Bitcoin price on a weekly basis, to show that over the timeframe, the cryptocurrency is currently bumping up against a resistance line, which corresponds to a “ multi-month downtrend dating from August 2022 “.
Rekt Capital also looks back on the previous monthly close. Bitcoin closed below $19,800. He believes that if the cryptocurrency does not reclaim this support, and thus the $19,800-$23,300 range highlighted in the chart below, then the price of Bitcoin is in a “ a bearish continuation “.
In other words, a loss of $19,800 before the end of this month would decrease the probability of Bitcoin being in a phase of a bullish rebound, to come and attack this $23,300 by the monthly close.
Bitcoin is currently struggling to break through these resistances, but also to hold above these moving averages. Besides these technical obstacles, the macro environment does not work in favor of the bulls.
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