After Elon Musk’s latest announcement on Twitter that Tesla will no longer accept Bitcoin payments due to its environmental footprint, the price of Bitcoin dropped by almost $ 10,000, going from $ 55,000 to $ 46,000 on crypto exchange Binance.
Currently, BTC is recovering its losses, with the Bitcoin bulls hard at work and trying to maintain its 100-day moving average of around $ 51,190.88. The digital asset has corrected some of its losses to trade at around $ 83,000 at the time of writing.
According to data aggregator Bybt, there has been a total of $ 1.95 billion that has been settled in the last 24 hours. Among them, $ 1.73 billion came from the long liquidated position. The largest individual settlement order for bitcoin occurred on the Huobi Global Exchange, worth $ 38.7 million.
Throughout the month of May, after Bitcoin hit its all-time high of $ 64,854 on April 14, Bitcoin tried many times to break through $ 60K without success. This indicates that investors are still hesitant to buy Bitcoin at high levels. In the short term, it seems unlikely that Bitcoin will break above the key resistance level of $ 60K.
Bitcoin (BTC) price analysis
Source: BTC / USDT Daily via TradingView
According to TradingView technical indicators, the current situation for Bitcoin is not optimistic. If you want to regain upward momentum, today’s decisive closing price needs to stay above the 100-day exponential moving average (100-EMA) of around $ 51K.
The current price of Bitcoin has been trading well below the exponential moving average tape. Both the downslope moving average and the MACD index, which made a bearish crossover below the zero axes, indicate that bears are currently dominating the market.
The Stochastic RSI is below the middle number of 50, which is the bearish side of the oscillator. If a large number of sell orders are triggered, BTC / USDT will test the 200-day exponential moving average of the $ 42,000 support level.
For long-term investors, the 200-day moving average is usually a critical trading indicator. If the price falls below the 200-day moving average, it is considered a bear market signal. Conversely, when the price breaks above the 200-day moving average, it is considered a bull market signal.
It is worth noting that since the outbreak of the Covid-19 pandemic, which began around May 2020 for most countries, the price of Bitcoin has never touched the 200-day exponential moving average.
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