Key Findings:
- Bitcoin (BTC) saw red for the second day in a row. Despite making a fresh July high of $24,619, BTC slipped 0.52% to end the day below $24,000.
- There was no news to test buyers’ appetites, allowing investors to lock in profits at the end of July.
- Bitcoin Fear & Greed Index slipped to 39/100 from 42/100, weighed down by Bitcoin’s failure to hold the $24,000 handle.
Bitcoin (BTC) slipped 0.52% on Saturday. After losing 0.36% on Friday, Bitcoin ended the day at $23,646. Bitcoin fell for the eighth time in 11 sessions.
After a range-bound morning session, BTC broke the first major resistance level at $24,310 to hit a fresh July high of $24,619.
However, a late reversal in the crypto market sent BTC to a late low of $23,521.
BTC dodged the first major support level at $23,337 to end the day at $23,646.
Despite a bullish month-end for the NASDAQ 100, it ended the second consecutive day down. On Friday, the NASDAQ 100 rose 1.88% to end July up 12.35%, the strongest monthly performance since 2020.
BTC-NASDAQ 310722 daily chart
Bitcoin Fear & Greed Index reacts to another Bitcoin loss
Today, the Fear & Greed Index slipped to 39/100 from 42/100, falling from its highest level since April 6th. Significantly, the index also fell back from the border into the neutral zone, which starts at 46/100.
Fear & Greed 310722
The last time the index was in the “neutral” zone was on April 6, when Bitcoin stood at $45,000.
However, despite the decline, the bullish momentum towards neutral remains. The moves over the coming days will likely guide the market as to what to expect in the week ahead.
A return to 40/100 should support BTC’s first visit to $25,000 since June 13.
Bitcoin (BTC) price action
At the time of writing, BTC is up 0.42% to $23,745. A mixed start to the day saw BTC fall to an early low of $23,531 before rallying to a high of $23,813.
BTCUSD 310722 daily chart
Technical indicators
BTC needs to move through the $23,927 pivot to target the First Major Resistance Level (R1) at $24,337 and Saturday’s high of $24,619.
BTC would need a bullish session to support a return to $24,000.
An extended rally would test the second major resistance level (R2) at $25,025. The third major resistance level (R3) is located at $26,125.
If the pivot is not breached, the First Major Support Level (S1) would come into play at $23,240.
Barring a prolonged sell-off, BTC should avoid below $23,000 and the second major support level (S2) at $22,829.
The third major support level (S3) is at $21,733.
BTCUSD 310722 hourly chart
Looking at the EMAs and the 4-hour candlestick chart (below), this was a bullish signal. Bitcoin was above the 50-day EMA this morning, currently at $22,943.
The 50-day EMA has moved away from the 200-day EMA. After a bullish cross on Saturday, the 100-day EMA broke off the 200-day EMA, both bullish BTC price signals.
A further extension of the 50-day EMA from the 100-day EMA would support a move to $25,000. However, a hold above the 50-day EMA would be the key to a bounce.
BTCUSD 310722 4 hourly
Looking at the trends, BTC would need to clear the July highs of $24,619 and $25,000 to reach the June high of $31,956. A bullish cross from the 100-day EMA through the 200-day EMA would support a rally to the June high.
From $31,200, BTC should have a clear run to the May high of $40,004. BTC needs to sustain above the 50-day EMA to support the short-term uptrend.
For the bears, the June 18 low of $17,601 would be the next target, with a dip below the July low of $18,768 likely to test investor resilience.
BTCUSD 310722 trend analysis
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