The BIT Price is currently trading near the supply zone of the market structure. The price is taking a critical resistance from 200 EMA it is predicted to see a further decline within the next few days as per the price action despite the buyer’s support as exhibited by the bullish engulfing candle. After making a double top (M) pattern near the $0.5500 level it has observed a 15% downfall in the last few weeks.
The technical indicators are presently conveying a bearish perspective for the near future. The Oscillators are steadily approaching the oversold levels on the daily timeframe; The EMA and SMA are presenting a contrasting outlook regarding the present price action which may impact its future value.
The current price of the BIT token is $0.50, it has a total market cap of $926.02M.
Social Engagement and Dominance Comparison of BIT Token
The Investor’s sentiments regarding the BIT token are bullish according to the metrics given by the LunarCrush platform. The total Bullish sentiment is observing a significant increase of 132.2% whereas total Social Engagement levels have surged by 128% in the last week which suggests that buyers are getting more active regarding the token across various social media platforms.
BIT Price Facing Strong Resistance From 200 EMA on the (Daily Timeframe)
After making a head and shoulder pattern, which is a bearish trend reversal pattern, BIT’s price is making a double top pattern. The chart patterns made by price action is suggesting a change can take place in the upcoming trend. The price of BIT is facing a resistance at the $0.5261 mark from the neckline of the M pattern.
The RSI line is making a higher high and low pattern. The current RSI value is 52.29 points; the 14 SMA is providing support to it at 46.50 points. The downward curve of the BIT token suggests that it may continue moving towards oversold levels.
The stochastic RSI is trading at the overbought level of 84.44 points making a double-top pattern. The present situation suggests a negative turn of the price trend in the near future. The %K line may soon give a downward cross-over to the %D line.
Conclusion
BIT’s price is trading under bearish influence. After taking a rejection with strong momentum from the 200 EMA the price is making a dark cloud cover pattern.
Technical levels –
Support –$0.4500
Resistance – $0.5261
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/05/17/bit-price-analysis-will-bit-price-continue-its-bearish-pursuit/