Bitcoin’s price on July 3, 2024, is currently at $60,177, having fluctuated between $59,712 and $62,974 over the past 24 hours. The trading volume during this period reached $24.36 billion, and the market capitalization stands at $1.18 trillion. However, a careful analysis of various time frames and technical indicators reveals consistent bearish signals, indicating a need for caution among traders. On the other hand, the completion of a CME gap on the futures chart suggests a potential upward movement in the near future.
Looking at Bitcoin’s 1-hour chart, we can observe a downward trend from $63,211 to $59,544, signaling strong bearish pressure as evidenced by increased selling volume near the lows. Key support is identified at $59,544, while resistance is noted around $63,211. Traders are advised to consider short positions on pullbacks near resistance levels and to exit near support levels.
The 4-hour chart also shows an extended downtrend from $63,794 to $59,544, supported by volume spikes during bearish moves. Similar to the 1-hour chart, key levels are identified at $59,544 and $63,794, with consecutive downturns and minor bullish corrections reinforcing the bearish momentum.
A daily chart analysis reveals a significant downtrend from $71,949 to $58,456, with increased volume on downward moves indicating seller dominance. Key support is observed at $58,456, while resistance is noted at $71,949. Larger downturns with intermittent upswings suggest persistent downtrend conditions.
While oscillator readings offer mixed signals, the overall sentiment remains bearish, with sell signals from key oscillators and moving averages aligning with the prevailing bearish indicators. Moving averages further confirm the bearish outlook, except for the 200-period EMA and SMA, which indicate a potential bullish sentiment and long-term support above $58,000.
In conclusion, the prevailing bearish indicators, including the downward trends in multiple time frames, volume spikes during bearish moves, and sell signals from key oscillators and moving averages, suggest continued downward pressure on bitcoin’s price. Traders should favor short positions and remain cautious until stronger bullish signals emerge. However, the potential long-term support above $58,000 offers a glimmer of hope, and a clear bullish reversal above $60,000 could present opportunities for long positions if confirmed by strong signals. To stay updated on Bitcoin’s price analysis, you can register your email to receive weekly updates. Share your thoughts and opinions about bitcoin’s market action on Wednesday in the comments section below.