Bitcoin recently soared past the $49,000 mark, gaining significant momentum, but faced a setback due to whale sell-offs and developments at Grayscale, leading to a dip below $41,000. Analysts are now examining the critical levels that could indicate Bitcoin’s short-term trajectory.
The four-hour Bitcoin chart showed a rising channel pattern that many investors relied on, but a subsequent decline resulted in Bitcoin losing the EMA 200 level (red line) and the pattern’s support line, disrupting the formation and pushing the price below $41,000.
Key support levels to monitor on the four-hour Bitcoin chart are $40,805, $40,133, and $39,416. A close below the pivotal $40,805 level in the four-hour bar could signal further losses for Bitcoin’s price.
Conversely, important resistance levels on the same chart are $41,332, $41,710, and $42,328. A four-hour bar close above the $41,710 level, intersecting with the EMA 21 (blue line), could potentially reignite Bitcoin’s upward momentum.
Investors are closely watching these support and resistance levels to gauge Bitcoin’s next moves in the volatile cryptocurrency market.