The market behavior of Bitcoin on July 5, 2024, was characterized by a persistent bearish trend across various time frames, with the current price set at $55,338. In the past 24 hours, Bitcoin’s price has fluctuated between $53,550 and $58,673, with a market capitalization of $1.08 trillion and a trading volume of $54 billion.
📊 On the Hourly Chart
The hourly chart of Bitcoin shows a clear downtrend, falling from $60,430 to a low of around $53,550, followed by a slight recovery. Trading volume increased significantly at the recent low, indicating strong buying interest at lower prices. The key support level is identified at $53,550, with resistance around $55,000. The formation of an upward movement after the low suggests a potential short-term reversal.
🕒 On the 4-Hour Chart
Examining the 4-hour chart of Bitcoin, the trend mirrors the hourly one with a steady decline from $63,794 to $53,550. Again, volume increased during the price drop, particularly at the lows, indicating accumulation. Support remains solid at $53,550, with resistance set at $58,000. The current indecision among traders indicates potential stabilization and a rebound.
📅 On the Daily Chart
The daily chart shows a prolonged downtrend starting from $72,949, with a steeper decline from the $60,000 zone to the $53,550 range. Volume spikes coincide with significant price drops, suggesting possible capitulations and accumulations. The primary support is at $53,550, while resistance is noted around $58,000.
The oscillators are predominantly neutral, with the Relative Strength Index (RSI) at 26, Stochastic at 13, Commodity Channel Index (CCI) at -217, Average Directional Index (ADI) at 36, and Awesome Oscillator at -4982. However, the Momentum (-6792) and Moving Average Convergence/Divergence (MACD) at level (-2210) reflect the bearish market sentiment.
📉 Moving Averages
The moving averages (MAs) for all major periods indicate a sell signal. The 10-period exponential moving average (EMA) and simple moving average (SMA) are at $59,931 and $60,332 respectively, both showing a decline. This bearish signal is consistent across the 20, 30, 50, 100, and 200-period MAs, underscoring the prevailing downward market trend.
🐻 Bearish Verdict:
Bitcoin’s technical indicators reflect a bearish outlook across multiple time frames. While there are signs of a possible short-term recovery, the overall sentiment remains negative with key support and resistance levels identified at $53,550 and $58,000 respectively. Traders should exercise caution and consider these technical factors when making trading decisions.
🐂 Bullish Verdict:
Despite the prevailing bearish outlook, recent signs of a potential short-term recovery and strong buying interest at lower prices could suggest a bullish opportunity for risk-tolerant investors. Key levels to watch include the support at $53,550 and the resistance at $58,000, as a break above this resistance could signal a trend reversal.
