Bitcoin Price Hits Major Support Level as Oil Prices and Inflation Weigh
Bitcoin's price has been declining due to rising oil prices, stubborn US inflation, and higher Treasury yields that have reduced demand for risk assets. The token is currently trading near $76,800, down from its opening price of $77,230. According to crypto analyst Ted Pillows, Bitcoin is testing its 50-week exponential moving average, and a weekly close below this level could push the price towards $72,000-$74,000.
The daily chart shows that Bitcoin has formed a series of lower highs and lost its short-term support zone between $78,000 and $78,200. The token is still trading above its longer moving averages, with the 50-day SMA at $70,673, the 200-day SMA at $70,058, and the 100-day SMA at $66,915.
The Chaikin Money Flow indicator remains slightly positive at 0.02, but has fallen sharply from its early September high, indicating weakened buying pressure during the retreat from $82,000.