31.05.202314:17 Forex Analysis & Reviews: Bitcoin rejected at channel resistance

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Blue lines- bearish RSI divergence

Red lines- bearish channel

Bitcoin is trading just above $27,000. Price recently made a bounce higher towards $28,450 but bulls failed to push price outside the red downward sloping channel. Price remains inside the bearish channel and with a lower high and rejection at the upper channel boundary, we should expect a move even lower. The bearish RSI divergence has warned us on time for the coming weakness in Bitcoin. Bitcoin has formed a bearish channel since the top at $31,043. Price remains vulnerable to the downside. Support is now found at recent lows of $25,800-$25,900. Failure to hold above this recent low will imply that more downside should be expected.

Alexandros Yfantis
Analytical expert of InstaForex
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