Key takeaways
- BTC dropped about 7% in the last 24 hours and is now trading near $81,000 per coin.
- The leading cryptocurrency could slide toward the $80,000 level if the bearish trend continues.
BTC continues to lag
The cryptocurrency market remained weak into November. Bitcoin lost 9.6% of its value over the past 24 hours and briefly fell below $82,000.
This bearish move comes amid a broad market sell-off. Analysts at JPMorgan, led by Nikolaos Panigirtzoglou, said in a note earlier this week that the ongoing sell-off appears to be driven largely by retail selling of spot Bitcoin and Ether ETFs, rather than by traders native to the crypto market. The analysts added,
“While original crypto investors were responsible for the market correction in October through significant deleveraging of perpetual futures, that earlier deleveraging in perpetual futures seems to have stabilized in November. Instead, it appears that non-crypto investors—primarily retail investors who typically use spot Bitcoin and Ethereum ETFs to gain crypto exposure—are most responsible for the continued correction in November.”
The sell-off has also hit altcoins, with Ether, XRP and other major tokens trading lower.
Bitcoin falls below $82,000
The BTC/USD daily chart looks bearish and inefficient after Bitcoin lost roughly 10% of its value in the last 24 hours. BTC began the week under selling pressure, extended its decline by 2% and closed below the 61.8% Fibonacci retracement level at $94,253.
The $90,000 support level failed to hold on Wednesday, and Bitcoin has slid another 10% since. At the time of writing on Friday, BTC is trading near $83,400.
The daily Relative Strength Index (RSI) sits around 22, indicating strong bearish momentum and oversold conditions for the leading cryptocurrency. The MACD lines are also deeply bearish.
If the selling continues and Bitcoin closes a daily candle below the $85,000 support, the decline could extend toward the key psychological $80,000 level.
Conversely, if the $85,000 support holds in the short term, BTC could stabilize and attempt a recovery toward the next significant resistance near $90,000.