Bitcoin Analysis – Simplified
Daily Overview:
Bitcoin is showing signs of a downtrend after forming a double-top around $124,517, which acted as strong resistance. Currently, the price is around $113,500, with trading volume decreasing since the last peak. The pattern of lower highs and lower lows points to a bearish trend.
- Support: $112,000 – $111,500
- Resistance: $117,000 – $118,000
- Trading Tip: Traders may consider buying if bitcoin bounces from $112,000 with rising volume and bullish candles.
4-Hour Chart:
Bitcoin saw a strong sell-off from $124,517 and is now moving between $113,000 and $115,000. Attempts to rally are weak, suggesting a potential temporary bounce rather than a trend reversal.
Key Levels:
- Local low: $112,353 (critical support)
- Shorting potential: $115,000 resistance or breakdown below $112,000
- Long position: possible if price stays above $113,500 and forms a higher low.
1-Hour Chart:
Short-term rebound from $112,353 is weak, with selling pressure continuing.
- Support for quick bounce trades: $112,800 – $113,000
- Resistance for short trades: $114,000 – $114,500
- Scalping tip: Use tight stop-loss near resistance and aim for small gains (0.5% – 1.5%).
Technical Indicators:
- RSI: 41 → neutral
- Stochastic: 8 → neutral
- CCI: -92 → neutral
- ADX: 18 → weak trend
- MACD: -304 → bearish
Other oscillators show selling pressure, confirming the overall downward bias.
Moving Averages:
- Short- and mid-term moving averages (10, 20, 30, 50 periods) suggest bearish trend.
- Long-term averages (100, 200 periods) offer some support, possibly preventing a sharp drop.
Overall Outlook:
Bitcoin is under technical pressure with a mid-term bearish trend. Traders should watch volume and market events like ETF news, which could cause sudden price moves.
Bullish Scenario:
- Hold above $112,000 with higher low and rising volume → potential rebound to $117,000–$120,000.
- Reclaiming $114,500 with strength could signal a bullish reversal.
Bearish Scenario:
- Price below $112,000 → more selling pressure toward $111,500 and lower.
- Daily and intraday charts favor downside movement, especially with rising volume and bearish momentum.
