Bitcoin Technical Analysis: Bears Tighten Grip for a Short Time

Bitcoin , which traded at $27 on the evening of December 94,500 with a market capitalization of $1,87 trillion, showed fluctuations during the day between $93,368 and $97,133.

On the hourly chart Bitcoin has fallen sharply from a recent peak near $98,000, with widespread selling pushing it towards the $93,000 support level.

Resistance levels are at $95,000 and $96,500, while the relative strength index (RSI) at 44 and stochastic at 26 are keeping things moderate. The 10-period exponential moving average (EMA) at $97,282 reflects bearish sentiment.

Since reaching $99,881 on the XNUMX-hour chart Bitcoin paints a picture of lower highs and lows that hint at bearish sentiment. Support zones are found at $93,500 and $92,500, with resistance hovering around $96,000 and $98,000.

Indicators such as the momentum oscillator at -12 and the MACD at 125 are waving red flags, advising medium-term traders to tread cautiously until prices stabilize.

The daily chart shows Bitcoin’s correction from the December high of $108,364, which shows intense selling and bearish candles. Support at $92,000 was quite strong in the past, while resistance at $100,000 and $108,000 seemed achievable. The 100- and 200-period moving averages, especially the EMAs at $84,785 and $75,451 respectively, are encouraging.

Despite the overall bearish trajectory, if Bitcoin decides to linger around the $93,000 support with less selling, short-term long-term buying opportunities may emerge. These, in turn, will push the price higher.