FX.co ★ iMeta | #Bitcoin chart analysis

The world of cryptocurrency remains dynamic, with Bitcoin frequently testing critical support and resistance levels. Recently, Bitcoin's price has faced considerable resistance at the 61.8% Fibonacci retracement level, currently positioned at $71,000. This level is derived from the swing high of $73,700 observed on October 29 and the swing low of $58,900 recorded on October 10. As of Saturday, Bitcoin is trading at $69,700, reflecting a slight increase of 0.52%. However, should Bitcoin fail to break through the $74,000 resistance level, there could be a risk of a 5% decline, potentially revisiting the daily support level of $65,000. This scenario highlights the importance of monitoring key price levels to anticipate market movements. Marathon Digital's Strategic Move: Marathon Digital Holdings (MARA) announced a plan on Monday to issue $250 million in convertible senior notes, which will mature in 2031. This initiative aims to attract qualified institutional buyers and will fund various corporate initiatives, including the acquisition of additional Bitcoin. Notably, initial purchasers have the opportunity to acquire up to $37.5 million in notes within 13 days of the original issuance date. Furthermore, under specific conditions, the company has the option to redeem these notes for cash, adding flexibility to its funding strategy. Economic Pressures and Federal Reserve Response: The cryptocurrency market is not immune to broader economic pressures. A finance professor and chief economist has called for an urgent 75 basis point cut in the Fed funds interest rate in light of recent market downturns. This expert emphasizes the necessity of swift action and suggests an additional cut next month to align more closely with the Federal Reserve's inflation and employment targets. The professor criticizes the Fed's slow response to current economic challenges, viewing it as a significant policy misstep that could worsen negative market reactions. Technical Analysis of the BTC/USD: Currently, Bitcoin is consolidating within a trading range between $59,111 and $73,900, with Fibonacci retracement levels set at 38.2% and 61.8%, respectively. These levels were derived from the swing high of $73,700 on October 29 to the swing low of $49,101 on August 5. As of Saturday, Bitcoin’s trading price is slightly elevated at $69,600. Should Bitcoin rise back to the 61.8% Fibonacci retracement level at $67,000, it may find significant support here, particularly as this level coincides with a previously breached trendline and the 100-day Exponential Moving Average, currently around $64,800.

Analyzing the market sentiment, the Relative Strength Index (RSI) and the Awesome Oscillator (AO) on the daily chart are both currently trading below neutral levels of 50 and zero. These momentum indicators strongly suggest a prevailing bearish dominance in the market, indicating that traders should remain cautious in their outlook.