1-Day Analysis:
Big Picture: Sellers were incredibly strong and ruled out any intra-day short-coverings, in addition to achieved a session close below the daily EMA-200 support level. This has been a big blow for bulls, who had been on a roll but are losing their hold with each passing session. The weakness prevails, and the price could continue to fall, while any short-term squeeze to the upside will be taken as an opportunity to sell further.
On the Upside a significant resistance level for the session has been established at 21,800. This was previously a key dynamic support level for Bitcoin, but a breach of this EMA-200 support is now projected to function as the session’s initial resistance. Over this, the next levels of resistance are at 22,145 and 22,360. Any short-term bounces will attract fresh sellers, while stronghold above 22,360 could initiate a strong round of short-coverings targeting 22,490, 22,550, and possibly 22,800.
On the Downside the EMA-200 support level of 21,790 has been breached. Breaching this support could intensify the already-intense pressure. Price is currently exposed to the 21,550 level, followed by the 21,350 region. Bitcoin could see intraday short-coverings around these levels even if they are partial. However any buildup of pressure below 21,350 may swiftly expose the price towards 21,100 followed by 21,050 to 20,950 levels.
