The cryptocurrency market continues to be influenced by developments in the Bitcoin ETF process, with Grayscale’s recent Bitcoin sales and investor exits applying downward pressure on Bitcoin prices. The price of Bitcoin has recently fallen below $41,000.
Following the approval of ETFs last week, Bitcoin’s price surged to $49,000 but has since dropped below $41,000 due to profit-taking. This decline has resulted in a breakdown of the rising channel pattern on the four-hour chart.
Key support levels to watch on the four-hour Bitcoin chart are $40,805, $40,133, and $39,416. A close below the $40,805 level, which has been acting as support, could lead to increased selling pressure.
On the resistance side, the important levels to monitor are $41,265, $41,710, and $42,328. A four-hour close above the $41,710 level, which intersects with the support line, could help Bitcoin regain momentum.
The market’s focus remains on these technical levels as investors and traders navigate the current volatility influenced by ETF news and Grayscale’s activities.