The BTC prices have dropped towards the support region and the bounce has been weak so far. This places the bulls in real danger as the support region is very much still in sight for the bears and hence they could attack this region at any point of time. Already, this region has come under attack over the last couple of weeks and though it has managed to hold so far, we are not sure how much longer the support would be able to hold. It is very important for the bulls that the region holds and brings in a large bounce so that they can vault the prices through the $7000 region once again this and this would be helpful for them to focus on the challenges ahead.
Prices Range Near Lows
The Reserve Bank of India has asked its licensed entities, including banks, to withdraw any kind of support to the crypto industry and this is seen as a large blow to many of the exchanges that operate over there. This could also contribute to the lack of demand in the BTC market and this would in turn add the pressure on the BTC prices in the short term. The next couple of days would be crucial for the short term direction for the BTC market as any kind of weakening below the support region would pull in more sellers and hence more pain.
The ETH market has also been consolidating and ranging in a weak manner over the last couple of days as it flirts with its support region as well. The entire crypto industry is under a lot of pressure and hence it wont be a surprise if the ETH prices fall.
Looking ahead to the rest of the day, it is going to be interesting to see the price action in the short term and how the market responds to the prices reaching the support region once again. If the bounces continue to be weak, then it is only going to be a matter of time before it breaks through.