Following him low term above $66,000Bitcoin’s price decline has brought it below many crucial levels. This allowed the bears to prosper as they regained control of the largest cryptocurrency by market capitalization. Even now, as Bitcoin’s price is heading for some recovery, the bear camp continues to strengthen, and the recent failure of the MA-200 suggests that the uptrend may only be momentary and a larger crash may be on the cards.

Why Bitcoin Price Falling on MA-200 Is Bad

RLinda cryptocurrency analyst revealed in the TradingView post that Bitcoin price was actually trying to break the M1-200 level. This attempt took place on the daily chart, where the price was moving towards the resistance of $64,000-65,000. However, the resistance at $64,000 turned out to be too sturdy and the Bitcoin price was broken again.

The result of this MA-200 log failure is that Bitcoin price is currently forming a downward channel. Naturally, this is bad for Bitcoin’s price, given that bearish channels are often harbingers of a crash. Add to this the fact that the price has broken out of the range and a sturdy liquidity zone has formed, and the cryptocurrency analyst believes that the market may head lower.

With the bears remaining in control, it appears to be a matter of when, not if, Bitcoin’s price will rebound again. The question then comes to the fore as to how low the price can go, and the cryptocurrency analyst is currently predicting a drop of at least 10%, which will push the price back from $60,000.

The main resistance levels presented by the cryptocurrency analyst are $62,745 and $64,955. This means that they are levels Bitcoin’s price must scale successfully to confirm the upward trend. For comparison, RLinda sets support levels at $60,000, $59,250 and $57,700. If the BTC price is unable to maintain these levels, the decline could be deeper than expected and even fall to the $52,000 level.

How to weaken bearish pressure

Another analyst who highlighted the failure of Bitcoin price to break the MA-200 is Alan Santana. He explains in his post that the fact that the cryptocurrency is currently trading below the MA-200 has strengthened the bearish sentiment, which is expected to decline.

However, there are a few developments that could support ease the growing bear pressure. The first is if the Bitcoin price was able to close above $66,500 on the weekly chart. The second is if BTC is able to make a monthly close of over $71,000.

Both of these scenarios could invalidate the current bear pressure Bitcoin price boost. “As long as Bitcoin trades below 66,500 (short-term) or below 71,000 (long-term), the bearish bias will remain unchanged,” the cryptocurrency analyst warned.

Featured image created with Dall.E, chart from Tradingview.com