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Home » This will be the next support for Bitcoin if the decline continues

This will be the next support for Bitcoin if the decline continues

Bitcoin (BTC) price is showing considerable bearish momentum today, May 8, 2023. At the time of this writing, it is trading below $28,000 and its decline in the last 24 hours exceeds 3%

As CriptoNoticias reported this morning, the High network congestion (the product of issuance of tokens using the Ordinals protocol) seems to be taken as a bad sign by the market. Selling pressure is greater than buying pressure, causing the asset’s price to fall.

If the fall stopped The next supports for the bitcoin price would be in the $25,000 areaas can be seen in the graphic below:

Upcoming Bitcoin Supports – Source: TradingView, screenshot from CriptoNoticias.

According to technical analysis theories based on experience and empirical evidence, these support levels are of particular importance as they acted as resistance in the past. In other words, What used to be levels that made it difficult for the price to rise would now serve as supports that would halt its decline.

This theory is based on investor psychology and market perception. When a price crosses a resistance, it is common for market participants to look to that level as a reference point for future buying or selling.creating supports.

It is important to note that while technical analysis can provide useful information for predicting potential market movements, it is not foolproof should be used in conjunction with other fundamental tools and factors.

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