Bitcoin Soars 7% Off Weekly Lows – Critical Resistance Ahead!

• Bitcoin’s price has reached a significant support region, including the lower boundary of the ascending channel and the static support zone of $25K.
• After an extended consolidation correction stage, Bitcoin’s price started to plummet slightly and experienced a 20% decline.
• The 200-day moving average is currently situated below the channel’s lower boundary, approximately at $23.9K, and might hold Bitcoin from a further decline.

Bitcoin Price Analysis

Bitcoin’s price has reached a significant support region, including the lower boundary of the ascending channel and the static support zone of $25K which also aligns with its prior major swing formed back on February 19th. The buying pressure seems high as it is expected to receive outstanding support in this region.

Price Drop

After an extended consolidation correction stage, Bitcoin’s price started to plummet slightly and experienced a 20% decline (from the $31K yearly high to the recent swing low of $24.8K). However, if the price drops below this region an impulsive bearish rally might occur as selling pressure might substantially increase.

200-Day Moving Average

The 200-day moving average is currently situated below the channel’s lower boundary, approximately at $23.9K, and might hold Bitcoin from a further decline thus preventing it from dropping too drastically.

Descending Channel Formation

Bitcoin’s price has developed a descending channel since it was rejected from the $31K region and started plungingand subsequently found support at its channel’s lower trendline standing at $24.7K.

Critical Resistance Ahead

Despite finding significant psychological support at $25k alongside its channels‘ lower trendline there exists critical resistance ahead that could potentially stop any further bullish rallies or push prices down even more before they can recover upwards again.