The bitcoin price on Friday extended the current declines before finding support at about $45.525, which triggered a slight rebound. The pioneer cryptocurrency continues to trade within a descending channel formation in the 60-min chart.
Bitcoin has now fallen several levels below the 100-hour moving average. As a result, the BTC/USD had plummeted to trade closer to the oversold conditions of the 14-hour RSI. Therefore, the significant rebound could be around the corner.
Bitcoin Price Fundamentals Overview
From a fundamental perspective, the leading cryptocurrency continues to experience pressure in tandem with the rest of the global financial market amid the Omicron variant of covid-19. As a result, the BTC/USD seems to be responding in a similar way the mainstream market has over the last few months. According to analysts, this could be a good feature for bitcoin, because, it could mean investors look at it like any other capital asset.
From a positive perspective, the general cryptocurrency industry continues to expand with non-fungible tokens gaining traction this year after surpassing $22 billion in sales. Therefore, analysts think DeFi and NFTs could help to augment the industry, resulting in a significant rebound in cryptocurrency prices. The BTC/USD has suffered lately due to increased off-rik trading, which traditionally strengthens the greenback.
Bitcoin Pirce Technical Analysis (the 60-min Chart)
Technically, the BTC/USD appears to be trading within a descending channel formation in the 60-min chart. As a result, bitcoin has plummeted to trade closer to the oversold conditions, creating a perfect opportunity for a rebound.
Therefore, the bulls will be targeting potential rebound profits at about $47,147, or higher at $48,040. On the other hand, the bears will be targeting extended declines at about $45,525, or lower at $44,640.
Bitcoin Price Technical Analysis (the Daily Chart)
In the daily chart, the BTC/USD also seems to be trading within a sharply descending channel formation, indicating a strong long-term bearish bias. As a result, Bitcoin has plunged to trade several levels below the 100-day moving average.
Therefore, the bears will be looking to retain long-term control by targeting profits at about $42,503, or lower at $37,733. On the other hand, the bulls will target long-term profits at about $51,685, or higher at $56,322.