1-Day Analysis:
Big Picture: After a strong session, Bitcoin appeared to struggle once more against intraday resistance. The candlestick closed with a shooting star pattern and that too with increased volumes. This indicates that as the price attempts to rise, there is excessive selling or profit-taking pressure, making it difficult for the momentum to continue. Buyers must either maintain the EMA-250 support level or continue their gradual upwards trend, or they will likely enter a corrective phase that will aim lower liquidity before any further trend continuation.
On the Upside Bitcoin failed to close the session above the 23,840 barrier for the second time. This threshold is increasingly becoming a significant barrier for buyers. Unless and until the price begins to sustain above this level, the upside potential remains limited. However, unless price breaks past the 25,200 barrier level, a similar choppy rise is predicted. Multiple resistances exist between 23,840 and 25,200, with the initial being at 24,200 and the next at 24,800.
On the Downside the initial test against 23,360 indicated a minor turnaround. If the price begins to respect this support level, the upside potential becomes more appealing. If this support is violated again, a drop down into the EMA-250 support level at 22,580 is likely. This is already a significant level that has been shielding the price for some time. Any breaches below this support level will result in additional decline, with the initial target zone being 21,890 to 21,550.
