Bitcoin (BTC/USD) took a sharp intraday hit on Thursday evening, plummeting from a local high of $106,850 to as low as $103,669, representing a swift $3,000+ drop within hours. The digital asset was last seen trading near $103,706, down $89 (-0.09%), amid surging sell volume and growing risk aversion in the broader market.
📊 Technical Breakdown – 15-Min Chart Analysis
- Bollinger Bands: Price pierced below the lower band ($103,266) after aggressively rejecting the upper band near $106,773. This suggests heightened volatility and a likely short-term oversold condition.
- Moving Average (20 SMA): BTC broke below the midline ($105,020) of the Bollinger Bands, which now acts as resistance in any rebound attempt.
- Volume Spike: Noticeable increase in red volume bars, indicating aggressive selling pressure, possibly institutional.
- RSI Alert: The 14-period RSI is hovering at 26.12, well into oversold territory, while the signal line sits at 32.87. Historically, this zone often triggers short-term bounces, though confirmation is crucial.
🔍 Key Levels to Watch:
- Immediate Support: $103,266 (Bollinger lower band)
- Major Support: $102,800 zone, if selling intensifies
- Resistance Zone: $105,000–$105,500
- Breakout Recovery Level: Above $106,000 for trend resumption
🧠What’s Behind the Drop?
Although no direct macro event is attributed to this selloff, traders are citing the following pressures:
- Profit Booking: After BTC’s recent surge, short-term traders may be securing gains.
- Risk-Off Mood: Global equity markets showed mixed action due to Middle East tensions and U.S. inflation fears.
- Whale Movements: On-chain data hints at large wallets offloading BTC to exchanges—often a precursor to near-term volatility.
⚠️ Caution for Traders:
With RSI deeply oversold and price hugging key support, a bounce is possible, but failure to reclaim the 20 SMA swiftly could lead to further downside. Scalpers should eye intraday consolidation signals, while swing traders must wait for a clear trend confirmation.
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🧾 Disclaimer:
This analysis is for informational purposes only and should not be considered financial advice. Always consult a licensed advisor before investing. Crypto markets are highly volatile—trade responsibly.
