Bitcoin/Tether

BTCUSDT Analysis: Breaking Key Levels on Dec 26, 2024

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Context and Analysis:

Today’s Bitcoin price action saw a significant drop after consolidating near critical levels overnight. Here's a breakdown of key observations:

Initial Consolidation:

Price hovered within the Bear Day resistance zone around $98,400-$98,600 for several hours. This area was tested multiple times, reflecting significant selling pressure.
Breakdown Confirmation:

Early in the session, BTC broke below the Day support level at $97,800, triggering high-volume selling momentum. The decline was swift, heading towards the Bullish Weekly support zone ($97,200) but offering little relief.
Current State:

Price is now testing the Day-ATR low ($95,200), a critical intraday level. This aligns with broader market sentiment showing weakness and a potential continuation of the bearish move.
Volume Profile Insight:

The Point of Control (POC) near $98,400 acted as a ceiling, further solidifying the bearish outlook when the price was rejected at this level.
Outlook:

Bulls need to reclaim the $96,400 swing close level to stabilize and attempt a recovery. Failure to hold above the current ATR low could open the door to further downside exploration.
Takeaway: Bitcoin is experiencing heavy selling pressure today, losing critical support zones one by one. Traders should monitor the $96,400 level for signs of reversal or a continuation of the bearish momentum.

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