- Bitcoin price holds onto the 50% Fibonacci retracement at $42,000 as support.
- The final Ichimoku support level below is the Senkou Span B at $40,000.
- Failure to hold $40,000 will position Bitcoin for a swift collapse.
Bitcoin price faces continued bearish sentiment across the broader risk-on market. Very high probability of a test lower to $40,000 as the final support leg before bears continue to thrust Bitcoin lower.
Bitcoin price entices buyers to support $40,000 value area to stop selling pressure
Bitcoin price is under significant pressure from a technical and fundamental perspective. Fundamentally, there is a considerable strain on all risk-on markets (the stock market, tech sectors, etc.) and Bitcoin is not immune to those strains. For that reason, Bitcoin is almost certainly going to move to its final support level at $40,000.
$40,000 contains the 61.8% Fibonacci retracement and the most vital support/resistance level in the Ichimoku system: Senkou Span B. If Bitcoin price were to break below the $40,000 level, it would be a significant event from a technical perspective and would be the most bearish Ichimoku breakout since May 12th, 2021.
The target area for short sellers is likely the $35,000 value area for several reasons. First, $35,000 is a natural psychological number. Second, the 61.8% Fibonacci expansion exists in the $35,000 value area. And third, the 2021 Volume-Point-Of-Control is at $34,500.
BTC/USD Daily Ichimoku Chart
Buyers who want to prevent any move below $40,000 will need to come in and support Bitcoin price at these final support zones. If bulls can keep Bitcoin within the Cloud until October 4th, the threshold buyers need to convert Bitcoin to a full-on bull market drops from a daily close at $52,600 to $47,000.
Like this article? Help us with some feedback by answering this survey:
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
Ripple's XRP set sights on $1.100 following renewed investor interest
Ripple's XRP rallied nearly 20% on Tuesday, defying the correction seen in Bitcoin and Ethereum as investors seem to be flocking toward the remittance-based token.
Dogecoin Price Prediction: Could DOGE ETF spark new all-time high after 130% rise?
Dogecoin rose over 15% on Tuesday as traders anticipate a price move toward the $1 threshold following Bloomberg analyst Eric Balchunas's post regarding a DOGE exchange-traded fund.
Hedera's HBAR rallies nearly 20% as Canary Capital files for HBAR ETF
Hedera's HBAR is up nearly 20% on Tuesday as Canary Capital submitted an S-1 registration to the US Securities & Exchange Commission for an HBAR exchange-traded fund.
Ethereum Price Forecast: ETH down despite hype from Beam Chain unveil
Ethereum is down 1% on Tuesday despite developer Justin Drake proposing the Beam Chain, a new consensus layer that aims to ship a series of changes that will fast-track the Main chain's roadmap to faster block times and quantum resistance.
Bitcoin: Further upside likely after hitting new all-time high
Bitcoin hit a fresh high of $76,849 on Thursday as crypto-friendly candidate Donald Trump won the US presidential election. Institutional demand returned with the highest single-day inflow on Thursday since the ETFs’ launch in January.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.