3-Hour Analysis:
Big Picture: Losing the range bottom levels caused a weekend selling surge that targeted lower levels. Price, on the other hand, rebounded off the key EMA level and is presently re-testing recently lost supports. This zone is likely to become volatile and choppy, furthermore any rejection from the re-test zones could provoke another round of selling, exposing Bitcoin even lower. To counteract the selling pressure, buyers need to re-establish strength above 24,480.
On the Upside there is immediate resistance from 23,530 to 23,630 levels. Price has had an initial rejection from this level, which is cause for concern and necessitates active risk management. Also, the EMA-50 restricted the upside exactly at the 23,595 level in this region. Above these resistances, the channel resistance at 23,790 is the next resistance. Re-establishing strength above this trendline will be a positive sign, extending the upside further into 23,950, followed by 24,480.
On the Downside the initial intra-day support is at 23,270. The EMA-250 level is the next price level below this level. This level has twice limited major sell-offs and reversed the trend. This level of support is at 22,980. In addition, the price has strong higher time-frame support from the 22,800 level. Both of these levels will continue to provide strong support, and maintaining them will be critical in order to avoid additional selling and potentially initiate a reversal.
