Bitcoin (BTC) Trembles in Extreme Fear: Are Bears Triggering a Drop Below $100K?

• Bitcoin is currently trading near the $103.1K zone.
• Market sentiment toward BTC is gripped by extreme fear.

With the choppy sentiment across the crypto tokens, the prices are moving both ways, giving an ambiguous picture. The bears have no idea of loosening their hold, leading to loss of momentum. Meanwhile, the Bitcoin market continues to slide, illustrating an intense downtrend. It has entered the extreme fear zone as the Fear and Greed Index holds at 15.

BTC price has undergone multiple tests and faced fluctuations and rejections. All the recovery attempts are ending up stuck in the weak zone itself. In the early hours, the asset traded at a high range of $105,297.23, and with the bearish encounter, the price slipped toward a bottom of the $100,836.61 threshold.

The largest asset has lost by over 0.22%, and at press time, Bitcoin trades within the $103,133.60 mark. Besides, the daily trading volume of the asset has increased by over 18.06%, reaching $72.64 billion. During the last 24 hours, the market has experienced a liquidation of $181.75 million worth of Bitcoin.

Will Bitcoin’s Slide Go Deeper?

BTC’s technical analysis exhibits that the Moving Average Convergence Divergence (MACD) is positioned below the signal line, indicating a negative outlook. As both lines are below the zero line, it confirms that the overall trend remains weak and the downtrend could continue until momentum shifts upward.

In addition, it’s crucial to note the capital flow, with the Chaikin Money Flow (CMF) indicator settled at -0.07, suggesting slight selling pressure in the Bitcoin market. Also, the money is flowing out of the asset, showing a mild bearish sentiment, but not yet a strong trend unless the value drops further below -0.1.

While looking at the four-hour trading window, Bitcoin is currently trading with bearish support. The price could retrace to the support range at $103,120. If the downside correction gains more traction, the emerging death cross might lead the price to a low of $103,105 or even lower.

Conversely, assuming Bitcoin’s reversal, it may immediately set the goal to hit the $103,145 resistance. In a highly bullish context, the golden cross could take place, and the potent bulls would drive the price toward the $103,160 level. Additional gains trigger the asset to hit its recent highs.

The daily Relative Strength Index (RSI) of BTC at 42.13 implies neutral to slightly bearish sentiment. It is neither oversold nor overbought, and the momentum is weak. The slump may continue unless the value rises above 50. Furthermore, Bitcoin’s Bull Bear Power (BBP) reading of -1,819.29 signals that bears are dominant in the market. This shows that selling pressure outstrips buying momentum, with the price continuing to fall.