Chart of the day - BITCOIN (16.05.2022)

Following a relief run on Friday and during the weekend, recovery move on Bitcoin took a pause today. Bitcoin as well as other cryptocurrencies are pulling back amid an overall weaker performance of risk assets. Weaker data from China led to a deterioration in market moods that impacted digital assets as well.

Taking a look at BITCOIN chart at D1 interval, we can see that the most famous cryptocurrency managed to defend its $29,000 support area at the end of last week and began a recover move. However, this advance was halted today after a failed attempt of breaking above the $31,000 area. All of the early gains were erased and price has once again dipped below $30,000. In case the $29,000 support zone is breached, downward move may deepen towards the psychological $25,000 area that served as an ultimate support during a sell-off last Wednesday.

Source: xStation5