BTC/USD Under Pressure as Bulls Give Up Key Support
As central bank digital currencies took center stage at the Senate Banking Committee today, BTC/USD lingered under freshly broken support levels.
Bears will note some key bearish breakouts on BTC/USD recently, with price moving below the 50-day exponential moving (EMA) and the 14-day RSI breaking below its key bull market support at ~50.
Bulls will be eager to see both of these levels reclaimed in the coming days. Sustained weakness might see increased buying support on a retest of key support at the 200-day EMA and the top of the blue support zone.
Continued weakness into and below the blue support zone will register a lower low and is likely to threaten the perceived structural integrity of the current 4-month bullish trend
Traders will note the continued correlation between the S&P500, broader global risk-on trades and BTC/USD. As global risk sentiment continues to calibrate to the uncertainties of a post-covid environment, traders would be remiss if they didn't pay attention to the broader tidal forces currently at play.
Traders may also be listening to the continued rhetoric flowing from the Senate Banking Committee and could be on alert for increased volatility should they alter their stance regarding Bitcoin and its place in their envisioned digital currency ecosystem.
Until next time, all the best and take care.
You can find me on twitter: @savdoescrypto
BTSE regularly hosts the technical analysis of experienced BTSE traders. Please note that we neither endorse any analyses published nor give you financial advice. Please make any trading decisions based on your own research.
Our aim is to create a platform that offers you the most enjoyable trading experience. If you have questions or suggestions, please don’t hesitate to reach out to us at firstname.lastname@example.org or DM us on Twitter: @BTSEcom.