FX.co ★ Bitcoin technical analysis for March 8th, 2023.

Violet lines- Fibonacci retracements

Blue lines- bearish channel

Green rectangle- resistance

Bitcoin is trading around $21.980 having already made a new lower low. Short-term trend remains bearish. Price has formed a downward sloping channel. Our first warning signal for the short-term trend came when price broke below the horizontal support at $23,665. Bitcoin remains vulnerable to a move towards the 38% Fibonacci retracement. Resistance by the upper channel boundary is found at $22,675. The RSI did not make a new lower low today despite price making a new low. This is the first bullish divergence signal. We expect to see more. This is not a reversal signal.