On the 4-hour chart of BTCUSD, the short-term Simple Moving Average (SMA) has recently crossed below the long-term SMA, signaling a potential bearish trend. This bearish crossover often suggests the momentum has shifted towards sellers, especially when combined with other indicators. The Parabolic SAR, which serves as a trend-following indicator, has produced three consecutive dots above the price candles, reinforcing the bearish sentiment. Lastly, the Relative Strength Index (RSI), currently at 29.44, has not only dipped into the oversold territory but has also crossed below its RSI-based Moving Average of 40.92. This indicates intense selling pressure in recent periods. Collectively, these technical indicators suggest a heightened bearish outlook for BTCUSD in the short to medium term. Traders should be cautious and monitor for potential support levels.
• There is a resistance level at 27163; followed by resistance at 26733 and 26396.
• There is a support level at 26058. Below, there are 25720 and 25600.
Note: We do not suggest any investment advice, and these analyses are just to increase the traders’ awareness but not a certain instruction for trading.
September 25, 2023
