Testing The Support Area

Bitcoin recently faced a significant downturn, thereby testing the robustness of its support area. This event underlines the reason for our prior recommendation to use stop-loss to protect your investment in volatile market conditions.
Currently, we are in a situation where patience is required to observe whether Bitcoin can maintain its current support level.
The critical point to consider is that if Bitcoin fails to sustain itself above the $40,700 support level, we are likely to witness an extensive sell-off in the market, which could further negatively impact its price.
The first key support area to focus on is $40,700. This level acts as a pivotal point, and maintaining it is crucial to prevent further price decline.
If this level fails to hold, the second support area to pay special attention to $38,400 range.
This range could act as a secondary support level and might help prevent further price decreases.

This analysis is for informational purposes only and should not be considered as financial advice.