Bitcoin price has dropped by close to 13% over the past week. According to JPMorgan Chase & Co., the selling of Grayscale Bitcoin Trust shared between June and July is likely to foster the bearish market for Bitcoin price. The selloff will mark the expiry of the six-month lockup period.
Notably, the sellers will comprise investors who bought the shares six months ago when the crypto was on a rally. Even with this week’s upward correction, the bank remains bearish on Bitcoin and the larger crypto market.
BTC/USD technical analysis
Bitcoin price has erased gains from the previous session. On Thursday, it rebounded from an intraday low of 32,284.47 to a high of 35,503.25 earlier on Friday. At the time of writing, it was down by 3.96% at 33,278.11. Since last Friday, the crypto has declined by close to 13%. On a four-hour chart, it is trading below the 25 and 50-day exponential moving averages.
I expect Bitcoin price to record further losses in the ensuing sessions. It is likely to find support along Thursday’s low of 32,284.47. If that happens, it may be range-bound in the near term, with the 25-day EMA forming its resistance level at 34,000.
A move below the aforementioned support level will have the bears retesting the psychological level of 30,000. On the flip side, a move above 34,000 will clear the path for the week’s high of 36,000.
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Bitcoin price chart
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