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The chart of the day: Bears tighten their grip on Bitcoin.
The price of Bitcoin has continued to decline by 6.6% so far, moving away from its all-time high of $123,128, supported by heavy selling amid fears of macroeconomic uncertainty. Just one day after the Federal Reserve kept interest rates unchanged while taking a hawkish stance, high tariffs have led to increased volatility this week.
The technical structure on the daily chart remains largely bearish, as evidenced by the decline of the (RSI) below the midpoint. If investors continue to avoid risk in the coming sessions, demand may decrease further, making the price of Bitcoin susceptible to expanding its losses towards the next key support level at $112,000.
The Moving Average Convergence Divergence index (MACD) maintains a sell signal during the downturn. These bearish expectations may keep the recovery weak as investors focus on reducing their exposure to losses.
Traders will also be monitoring the possibility of a rebound if Bitcoin recovers the immediate support level at $115,000. Another key area of interest is the 50-day Exponential Moving Average (EMA) at $112,928, and the stubborn resistance level ranging between $119,000 and $120,000.