Bitcoin Closes Below 50-Day Moving Average, Signals Potential Bearish Trend

Bitcoin (BTC) has lost over 7% of its market value in the last month, struggling to regain bullish momentum after setting a new all-time high. Analyst Scott Melker highlights that Bitcoin closed below its 50-day moving average (50 MA), a signal often indicating bearish trends.

Potential Market Decline

Melker's analysis shows Bitcoin last closed below the 50 MA two months ago at around $84,000.
The 50 MA is a lagging indicator used to identify market trends; staying below may suggest a trend reversal.
Previously, losing the 50 MA led to significant selling pressure and a drop to $74,000 in April.
Current projections indicate a possible 26% decline, targeting around $76,200.
To counteract bearish sentiments, Bitcoin must hold above the $100,000 resistance level.

Current Market Status

Bitcoin is trading at $102,889, down 1.43% in the last day. Daily trading volume has decreased by 29.30%, currently at $35.15 billion, with a market cap of $2.02 trillion. Analyst Ali Martinez suggests a potential drop to $82,000 if support at $102,000 fails.