A failed rebound above $50,000 looks to flip the level back to resistance as $47,000 becomes a new price focus.
Bitcoin (BTC) extended its losses on Feb. 23 as selling pressure took markets below $47,000 for the first time in over a week.
Fresh dive takes BTC/USD to 8-day lows
Data from Cointelegraph Markets and TradingView painted a gloomy picture for bulls on Tuesday as BTC/USD hit lows of $45,000 on Bitstamp.
The losses reverse a rebound that halted Monday’s 20% price crash from all-time highs near $58,000. Bitcoin bounced at $47,400 on the day to return to $54,000 before a fresh dip took hold.
At the time of writing, $47,000 was again acting as some form of focus for support, with the trajectory still unclear amid heavy volatility.
Analysis of buy and sell positions produced little hope for stemming losses should that level fail, with support lacking below $46,500.
$50,000 set to become resistance again
For analysts, however, even the prospect of a more serious retracement was nothing to fear. Compared to previous price dips, the current one was a drop in the ocean.
“We’ve experienced 2018 & 2019. This is nothing,” Cointelegraph Markets analyst Michaël van de Poppe summarized to Twitter followers.
In an accompanying YouTube update, he forecast that should bears take hold, Bitcoin could be in for what is classic behavior for the month of March, which traditionally sees corrections.
“Approaching bounce region for Bitcoin. I think we’re close now,” a further tweet added.
“Resistance zone at $48,500 and $51,000.”
As Cointelegraph reported, theories explaining the downturn range from whale sell-offs to natural market cycles.
Source: Cointelegraph https://cointelegraph.com/