The sudden drop in the price of Bitcoin from 52000 to 46000 came as a surprise to many investors. This fall in price led to the liquidation of many orders on the exchanges. However, many analysts were prepared for this price cut.
Last week, analysts from JPMorgan Bank pointed to a possible drop in the price of Bitcoin to $46000. The market has grown steadily over the past eight weeks. He entered the overbought zone. Moreover, it was already overheated, as the share of altcoins rose sharply, from 22% to 33%.
This price correction was necessary to bring the balance back into the crypto sphere. In addition, experienced investors changed their tactics in time in order to incur the least losses.
As a result of the decline in the price of Bitcoin, a downtrend line began to form on the hourly chart. It resists the BTC/USD pair around 46300.
In addition, the BTC/USD pair dropped below the 100-hour simple moving average. And now it is putting up resistance in the area of 49000. However, the BTC/USD pair has several resistance levels that are much lower. The level of 47000 is providing serious resistance for the BTC/USD pair.
If the BTC/USD pair fails to rise above the level of 47000, we do not exclude the continuation of the bearish correction. In this case, the immediate support is near the level of 45500. Strong support is found around the level of 44800.