Bitcoin Weakens as Market Index Fills the Gap
Bitcoin has shown signs of weakness, potentially leading to more pain for the decentralized finance asset. However, there are a couple of developments that could potentially change its course.
The stock market index (SPX) is starting to fill the gap, and the United States dollar index (DXY) is showing potential deviation. Meanwhile, Bitcoin dropped to $26,100 in liquidation, as observed by cryptocurrency market analyst CrypNuevo on September 26.
According to CrypNuevo, the SPX needs to hold the gap zone without breaking any lower, while the DXY needs to cool off and retest the previous resistance as potential support for Bitcoin to recover.
If these two developments occur, Bitcoin could have the chance to complete the last part of the projection and continue its upward momentum, as assessed by the crypto trading specialist.
As of now, Bitcoin is trading at $26,240, with a decline of 0.14% in the last 24 hours and a 3.22% loss over the previous seven days. However, it still holds a 1.27% gain on its monthly chart.
Renowned crypto expert Michaël van de Poppe noted that Bitcoin needs to test the $25,700 – $26,000 level for any long positions. It must also break the crucial area between $26,500 and $27,875 to see a stronger uptrend.
It is important to note that the content in this article should not be considered investment advice. Investing in cryptocurrencies is speculative and carries a risk to your capital.
Sources:
– CrypNuevo: https://twitter.com/CrypNuevo/status/1706704057077735920
– Bitcoin price chart: https://finbold.com/cryptocurrency/bitcoin/
– Michaël van de Poppe video analysis: https://www.youtube.com/watch?v=0JM-4NNd87o
