The negative news background put additional pressure on Bitcoin, preventing the price from trying to recover. The situation stabilized slightly in the middle of the week, but then the correction resumed.
Last week, the European Securities and Markets Authority negatively responded to digital currencies. The regulator published a document in which he spoke about the uncontrollability of the virtual asset market and the need to protect investors who buy such instruments.
The head of the Bank of Sweden, Stefan Ingves, criticized Bitcoin and compared investing in this asset with buying stamps. According to him, cryptocurrency is used for money laundering and deals a big blow to financial stability.
Last week, the price of Bitcoin rose above $47000, but failed to gain a foothold and continued the correction. On the hourly chart of the BTC/USD pair, a triangle has begun to form, limiting the price around 44200 dollars below and 46300 above.
Bitcoin is currently trading below its 100-hour simple moving average, which provides immediate resistance in the area of $45700. In case of a successful breakout of the 100-hour moving average, the BTC/USD pair will meet with immediate resistance around $46000. Further, the BTC/USD pair will receive resistance in the form of a descending triangle line, which gives resistance around $46300.
A failed attempt to move above the 100-hour moving average will send the BTC/USD pair towards the $45000 support level. Major support appears to be forming around thelevel of $44200.