Bitcoin’s price decline continues as the market has lost several key support zones. While many investors are worried about a deep crash, there is also the possibility for this drop to be a bear trap.
Technical Analysis
By TradingRage
The Daily Chart
The daily chart shows that the price has lost the $60K support level and dropped below the 200-day moving average, located around the $58K level.
The 200-day moving average is a key indicator, as it has held the price during previous bull markets. Whenever it was broken to the downside, the bull run was over. Yet, the price is currently trading around the $57K level, with BTC having failed to create a daily candle close below it.
The sizeable downward shadow in yesterday’s candle can indicate that the decline might have come to a halt, and consolidation or even recovery is probable in the short term.
The 4-Hour Chart
The 4-hour chart shows a clear…
