Bitcoin Falters Below Key Technical Levels

Bitcoin's recent rally has lost steam, and its price is currently below both its 100-hour and 200-hour moving averages. Buyers had a strong run higher, pushing the price to $81,455 on August 28, but they are now facing a less decisive battle between buyers and sellers. The 100-hour moving average is at $78,025, while the 200-hour moving average is at $78,436.

The daily chart also shows that Bitcoin's larger decline took the price from its all-time high of $126,272 to a late-June low of $57,735. The rebound since then has recovered some of that decline, but it has not reached the 38.2% Fibonacci retracement near $83,916.

The failure to clear this area and reach the 38.2% retracement leaves open the possibility that the rally is still a recovery within the broader downtrend. Buyers have more work to do to demonstrate lasting control.