Bitcoin [BTC] sellers remained active within the Asian hours as the cryptocurrency slipped further below $40k resistance. A subsequent level of support is seen around $34k to $36k, which could stabilize the pullback.
The price of the leading cryptocurrency, Bitcoin is presently trading at around $38k at the reporting time and is down 2% over the past 24 hours. The short-term uptrend is weakening, although buyers could return for a quick bounce at support.
The RSI [Relative Strength Index] is approaching oversold levels on the 4-hour chart, which could encourage short-term buying.
Bitcoin broke below a series of upper price lows from the 19th July short-squeeze around $30k. This means buyers are in profit-taking mode given recent overbought signals on the daily chart.
The weekly chart isn’t yet oversold, although downside momentum has slowed considerably over the past month.