Bitcoin price remained supported above the $94,200 zone. BTC is forming a base and might start a fresh increase above the $98,000 resistance.

• Bitcoin started a fresh decline below the $98,000 support zone.
• The price is trading below $97,500 and the 100 hourly Simple moving average.
• There is a key bearish trend line forming with resistance at $97,800 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair could regain momentum if it closes above the $98,000 resistance zone.

Bitcoin Price Stays Above Support

Bitcoin price extended losses below the $98,000 support zone. There was a move below the $96,500 support. The price even spiked below $95,000.

A low was formed at $94,314 and the price is now consolidating losses. There was a recovery wave above the $96,650 level. The price climbed above the 61.8% Fib retracement level of the downward wave from the $98,267 swing high to the $94,314 low.

Bitcoin price is now trading below $98,000 and the 100 hourly Simple moving average. On the upside, the price could face resistance near the $97,500 level. It is close to the 76.4% Fib retracement level of the downward wave from the $98,267 swing high to the $94,314 low.

The first key resistance is near the $98,000 level. There is also a key bearish trend line forming with resistance at $97,800 on the hourly chart of the BTC/USD pair.

A clear move above the $98,000 resistance might send the price higher. The next key resistance could be $98,800. A close above the $98,800 resistance might send the price further higher. In the stated case, the price could rise and test the $100,000 resistance level. Any more gains might send the price toward the $102,000 level.

Another Decline In BTC?

If Bitcoin fails to rise above the $98,000 resistance zone, it could start another downside correction. Immediate support on the downside is near the $96,500 level.

The first major support is near the $95,000 level. The next support is now near the $94,250 zone. Any more losses might send the price toward the $92,000 support in the near term.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $96,500, followed by $95,000.

Major Resistance Levels – $98,000, and $98,800.

Grayscale Bitcoin ETF (GBTC) has continued its exit spree with $30 million in outflows in the last 24 hours. Last week, outflows heightened due to the wider market correction but with daily gains today, general ETF outflows were in moderation. Bitcoin price picked up today with the wider market notching a 0.9% inflow.

Grayscale Bitcoin ETF Record Outflows 

Grayscale sold 490 Bitcoin worth approximately $30 million taking total exits to 340,000 BTC since the launch of spot ETFs in the United States. This follows the trend of the fund marking higher outflows than newly launched spot ETFs. Last week, Grayscale saw losses of $150 million and $450 million in 30 days. 

This year, the fund has sold over 18,000 Bitcoin but still holds 29,331 BTC on its sheet maintaining the top spot. BlackRock and other issuers recorded improved volumes as activities picked up. The major reason for investors selling Grayscale and switching to other issuers is because of its price. New ETFs like BlackRock charge less than Grayscale. Another minor factor can include the hype and adverts around these products. 

Grayscale played a major role in the issuance of spot Bitcoin ETFs following a land market judgment that eventually led to the approval of these products by the Securities and Exchange Commission (SEC). In the run to approvals, the SEC cited potential risks relating to trade manipulations. 

Bitcoin and Crypto Activities See Gains 

The industry recorded massive outflows from decentralized finance (DeFi) protocols and institutional products because of the falling prices of digital assets. Bitcoin declined below $61,000 leading to a similar fall in the price of other digital assets. The total market cap fell from $2.6 trillion to slightly over $2.2 trillion. 

However, the last 24 hours saw a change of fortunes as crypto prices picked up across the board. Bitcoin, Ethereum, and other altcoins saw slight gains with a 0.91% increase in its market cap.

Also Read: Solana and Cardano Lead Top 10 Crypto Rebound

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David is a finance news contributor with 4 years of experience in Blockchain Technology and Cryptocurrencies. He is interested in learning about emerging technologies and has an eye for breaking news. Staying updated with trends, David reported in several niches including regulation, partnerships, crypto assets, stocks, NFTs, etc. Away from the financial markets, David goes cycling and horse riding.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.