Bitcoin Fails to Break Key Resistance

May 28, 2021

Where Are the Cryptobulls Bulls?

The flagship cryptocurrency recovered from $30,000 lows merely recent gains are now evaporating As $40,000 is proving as well strong for the bulls to break. Currently, BTC is changing hands for 36,600 US Dollars per social unit but that cost may not be available for long and the pair seems prepped for another jaunt to $30K.

So, who is the perpetrator for the solid slide that started above $60K? According to Cathie Wood, the founder and Chief operating officer of Ark Invest (a well-known investment direction firm headquartered in New York), it's Elon Musk and the ESG (environmental, social, and governance) movement. During CoinDesk's Consensus 2021 conference she denotative the opinion that "It was precipitated by the ESG crusade and this feeling, which was exacerbated by Elon Musk, that there are some real environmental problems with the mining of bitcoin. Much of institutional buying went on pause".

If so institutional purchasing is "on pause", the slide may extend below $30,000 because retailers lack the strength to really move Bitcoin's monetary value, non to mention that they are more well influenced by FUD. But then again, SkyBridge and Fidelity, two U.S.-based companies, have filled applications looking approval for Bitcoin ETFs, and presently the U.S. Securities and Exchange Commission (SEC) is reviewing these two BTC products.

Naturally, we don't know what the other "volumed boys" are doing and what investments they are committing to, but the fact is that currently, all top cryptos are in the red, many of them with double-digit losses. Binance's BNB is land 11.45% in the last 7 days, trading at $338; Ethereum unredeemed only 5% in the shoemaker's last 7 years, now at $2,560, spell DOGE is down almost 17% and Ripple's XRP is down more than 20%.

Chart Analysis – BTC/USD

On the Daily chart below we fanny construe two candles that touched surgery came very close to the livelihood at $30,000 then immediately retraced high, showing signs that price may be headed north. But although that was the case for a brief while, the resistance at $40,000 evidenced too fertile for the bulls to get around, and currently, price has resumed its downward flight.

Considering this price action, the next probable destination is the fend for at $30,000 and a break of this barrier would significantly bear on medium-to-long-full term move. The MACD is orientated south but its lines are nigher together, which shows a belittled pessimistic momentum, and the RSI is also burr-headed south but IT's approaching oversold territory (30 level). These are small signs that we may see some sort of bounce higher from substantiate levels identified happening the lower timeframes but American Samoa long A price remains below $40,000, the bias is bearish.