Bitcoin slipped below its 200-week moving average on Friday as the U.S. dollar and bond yields rose. An analyst now flags $57,700 as a possible downside target if a key weekly momentum level fails.
Bitcoin fell as low as $67,652, slipping below its 200-week moving average of around $68,000. The coin is down more than 3.5% over the past 24 hours and 16% over the past month, according to CoinDesk.
Cointelegraph reported that Bitcoin fell to its 200-week simple moving average at $67,993, its first interaction with the trend line in 11 weeks.
Dollar index and Treasury yields climb
The U.S. Dollar Index climbed above 103, and tech futures also declined. Gold traded just below $3,900 an ounce as it attempted to recover towards $4,000.
Global bond yields are rising too. The U.S. 10-year Treasury yield stood at 5.125% and the 30-year at 5.459%, and yields in the U.K., France, Germany and Japan are higher as well, reducing the attractiveness of riskier assets.
Oil rebounded from recent declines. WTI crude traded at $89 a barrel and Brent above $96.
Analyst eyes $57,700 if weekly RSI breaks
Keith Alan, co-founder of Material Indicators, flagged the 200-week average as having confluence with a resistance/support flip level on Bitcoin's weekly relative strength index. Weekly RSI has returned to 41.5, a level it established as support in late July.
Alan wrote on X, according to Cointelegraph: "Losing 41.5 on Weekly RSI opens the door to test the cycle low at $57.7k"
Sources: CoinDesk, Cointelegraph
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