Bitcoin price has been unable to break a significant resistance level since December 5, creating selling pressure for Bitcoin. At the time of writing, all eyes are on the US as Bitcoin trades at $43,185, with the SEC‘s decision on spot Bitcoin ETF applications being crucial for the entire crypto ecosystem.
Bitcoin Chart Analysis
Bitcoin daily chart analysis highlights an ascending channel formation as the first notable structure. This formation suggests a positive scenario for the price if Bitcoin had touched the support in the second week of October and then broke the resistance on December 5. However, the resistance level that has not been surpassed since December 5 could lead to selling pressure on Bitcoin.
The most important support levels to watch on Bitcoin’s daily chart are; $42,219 / $40,348 and $38,310 respectively. A daily bar closing below the $40,348 level, which intersects with the formation resistance line, could increase selling pressure on Bitcoin.
The most important resistance levels to watch on Bitcoin’s daily chart are; $44,681 / $47,362 and $49,639 respectively. A daily bar closing above the $44,681 level, which has recently been a major obstacle, would accelerate Bitcoin’s price momentum.
Bitcoin Market Dominance
The recent decline in the daily Bitcoin Market Dominance chart indicates the beginning of a significant period. As with every rise, investors start investing in different crypto assets after a certain saturation point with Bitcoin, and the Bitcoin Market Dominance chart gives the first hint of this process.
The most important support levels to follow on the Bitcoin Market Dominance chart are; 1946 / 1888 and 1795 respectively. A daily bar closing below the 1946 level, which intersects with the EMA 200 (red line), would lead to a decrease in Bitcoin’s dominance in the crypto market and trigger an altcoin rally.
The most important resistance levels to watch on the Bitcoin Market Dominance chart are; 2009 / 2083 and 2148 respectively. A daily bar closing above the 2083 level, which intersects with the EMA 21 (blue line), would increase Bitcoin’s market dominance and lead investors to prefer Bitcoin.
