The broader cryptocurrency market has struggled in recent weeks.
The crypto market has been in a downward trend for several days. Since the start of the week, the market has lost more than $400 billion in value.
So far, the market has declined by more than 16%, leaving total market capitalization at just over $1.1 trillion. The crypto market has lost more than 50% of its value since reaching an all-time high of $3 trillion in November 2021.
Bitcoin remains the largest cryptocurrency by market capitalization. With a market cap exceeding $500 billion, BTC has fallen more than 50% over the past six months.
At the time of publication, Bitcoin is trading at $28,415 per coin, a drop of more than 11% in the past 24 hours. Bitcoin has lost over 50% of its value since the record high of $69,000 in November 2021.
Key levels to watch
The 4-hour BTC/USD chart is bearish, reflecting Bitcoin’s weakness in recent weeks. Technical indicators point to an ongoing downtrend for Bitcoin.
The MACD line sits below the neutral zone, signaling bearish momentum. The 14-day Relative Strength Index (RSI) at 26 indicates Bitcoin is currently oversold.
If the bearish momentum continues, Bitcoin could fall below the first major support level at $26,762 before the end of the day. In the event of a prolonged downturn, Bitcoin could drop below $25,000 for the first time in nearly a year.
Conversely, if buyers regain control, Bitcoin could soon retest resistance around $30,000. The $33,000 resistance zone is likely to cap further upside in the near term.