The daily time frame shows some bearish signs

In our recent analysis, we noted that Bitcoin entered proving grounds above 30 000$, where it would be decided whether we saw a market bottom in November 2022 or not. We outlined how Bitcoin's struggle to hold above this critical level would support our bearish thesis about the cryptocurrency market revisiting its 2022 lows in the coming months. Then yesterday, Bitcoin broke below 30 000$, dipping as low as 29 122$ (before reversing back above 30 000$, which interestingly coincided with the Goldman Sachs earnings release). Nevertheless, the invalidation did not last long, and today, Bitcoin again broke below the critical level of 30 000$. Currently, it trades near the 29 300$ price tag. We will pay close attention to the price and see if it will take out yesterday’s low. If yes, then it will bolster the bearish case in the short term and potentially suggest that we have seen a top for Bitcoin’s rally. However, we would like to see more developments on the chart to confirm this fact. Because of that, we will observe RSI, MACD, and Stochastic in the following days. We would like to see them declining further, increasing bearish odds in the short term.

Illustration 1.01

Illustration 1.01 shows the daily chart of BTCUSD and the setup with a bearish trigger below 30 000$ (requiring a tight stop-loss).

[i]Illustration 1.02

Illustration 1.02 displays the daily chart of BTCUSD and three technical indicators, including MACD, Stochastic, and RSI.

Technical analysis
Daily time frame = Slightly bearish
Weekly time frame = Neutral/Slightly bullish

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DISCLAIMER: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not be a basis for taking any trade action by an individual investor. Therefore, your own due diligence is highly advised before entering a trade.

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Bitcoin takes out yesterday's low.