Bitcoin Price Faces Downside Risk as $62K Support Level Tested
Bitcoin's price is under pressure as it tests the $63,150 Fibonacci support level after retreating from July's high of $66,900. Despite a positive institutional flow picture in July, with US spot Bitcoin ETFs gaining about $172.4 million, momentum indicators currently favor sellers.
The daily relative strength index sits near 45, below its recent average, while the daily MACD has crossed lower and its histogram is moving into negative territory. The four-hour chart also shows weakening capital flow, with Chaikin Money Flow falling to minus 0.22, suggesting persistent distribution.
Bitcoin trades below the Bollinger midpoint near $63,886, with the lower band around $62,489 acting as immediate support. Policy uncertainty adds another risk layer, as the Senate has limited time before its August recess and the CLARITY Act still needs bipartisan support.