Today we’re taking a closer look at Bitcoin, which is showing increasingly negative technical signals across multiple timeframes. Let’s break it down:
Daily Chart: Confirmed Downtrend
• Bitcoin is now technically in a down move, defined by a sequence of lower reaction highs and lower reaction lows—a structure that’s been in place since early October.
• Price has closed below the 200-day moving average (turquoise line), a key long-term support level. This breakdown adds weight to the bearish bias.
• The Ichimoku Cloud setup confirms a sell signal:
o Lagging line is below both the cloud and price.
o Price remains below a red cloud, reinforcing bearish momentum.
• The RSI is relatively low, suggesting weak bullish strength. Any short-term bounces are likely to be capped by the top of the cloud, which aligns with the recent high near 16,570.
Weekly Chart: Critical Support in Play
• The 55-week moving average has provided strong support since early 2023, with multiple successful tests.
• However, price is now threatening to break below this level again. A weekly close below 101,337 would be a significant bearish development.
• If confirmed, this could open the door to a deeper retracement toward the midpoint of the range, around the 85,000=80,000 area.
Summary
Bitcoin is currently in a confirmed downtrend, trading below key moving averages and cloud resistance. Unless bulls reclaim these levels, the path of least resistance remains to the downside.
Watch Friday’s weekly close closely—it could be pivotal.
Disclaimer:
The information posted on Trading View is for informative purposes and is not intended to constitute advice in any form, including but not limited to investment, accounting, tax, legal or regulatory advice. The information therefore has no regard to the specific investment objectives, financial situation or particular needs of any specific recipient. Opinions expressed are our current opinions as of the date appearing on Trading View only. All illustrations, forecasts or hypothetical data are for illustrative purposes only. The Society of Technical Analysts Ltd does not make representation that the information provided is appropriate for use in all jurisdictions or by all Investors or other potential Investors. Parties are therefore responsible for compliance with applicable local laws and regulations. The Society of Technical Analysts will not be held liable for any loss or damage resulting directly or indirectly from the use of any information on this site.
Daily Chart: Confirmed Downtrend
• Bitcoin is now technically in a down move, defined by a sequence of lower reaction highs and lower reaction lows—a structure that’s been in place since early October.
• Price has closed below the 200-day moving average (turquoise line), a key long-term support level. This breakdown adds weight to the bearish bias.
• The Ichimoku Cloud setup confirms a sell signal:
o Lagging line is below both the cloud and price.
o Price remains below a red cloud, reinforcing bearish momentum.
• The RSI is relatively low, suggesting weak bullish strength. Any short-term bounces are likely to be capped by the top of the cloud, which aligns with the recent high near 16,570.
Weekly Chart: Critical Support in Play
• The 55-week moving average has provided strong support since early 2023, with multiple successful tests.
• However, price is now threatening to break below this level again. A weekly close below 101,337 would be a significant bearish development.
• If confirmed, this could open the door to a deeper retracement toward the midpoint of the range, around the 85,000=80,000 area.
Summary
Bitcoin is currently in a confirmed downtrend, trading below key moving averages and cloud resistance. Unless bulls reclaim these levels, the path of least resistance remains to the downside.
Watch Friday’s weekly close closely—it could be pivotal.
Disclaimer:
The information posted on Trading View is for informative purposes and is not intended to constitute advice in any form, including but not limited to investment, accounting, tax, legal or regulatory advice. The information therefore has no regard to the specific investment objectives, financial situation or particular needs of any specific recipient. Opinions expressed are our current opinions as of the date appearing on Trading View only. All illustrations, forecasts or hypothetical data are for illustrative purposes only. The Society of Technical Analysts Ltd does not make representation that the information provided is appropriate for use in all jurisdictions or by all Investors or other potential Investors. Parties are therefore responsible for compliance with applicable local laws and regulations. The Society of Technical Analysts will not be held liable for any loss or damage resulting directly or indirectly from the use of any information on this site.
The STA is the oldest technical analysis organisation in the world and to celebrate that fact, we have a free downloadable book on technical analysis here -
technicalanalysts.com
technicalanalysts.com
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
The STA is the oldest technical analysis organisation in the world and to celebrate that fact, we have a free downloadable book on technical analysis here -
technicalanalysts.com
technicalanalysts.com
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.