Is The BTC Price Finally Close To The Bottom?

Nothing is changed in the Bitcoin news today – in fact, we can see that the value of the most dominant cryptocurrency has gone even more in the red. With Bitcoin trading at around $7,200 and falling by a lot over the past couple of days, traders are wondering and asking themselves: “Is the BTC price finally close to the bottom?”

The truth is, no one knows. Bitcoin (BTC) opened the day yesterday at $7,600 and started its sharp decline to find lows of $6,800 at one point – measuring a decline of 10%. The price has since been pushed back across $7,000 with buyers showing their interest in the prices below this handle.

On another note, the loss in the Bitcoin valuation dragged the entire market down. The ETH news, for instance, show that Ether is one of the most notable users and has lost support at $150 printing lows of almost 15% in the decline and visiting the $130 region. But is the BTC price finally close to the bottom – and can it drag altcoins to new highs again?

Well, the dominance says that this is possible. At 69% this week, the BTC dominance means that the cryptocurrency has outperformed the remainder of the market during the decline and still accounts for more than two thirds of the total market cap.

On a weekly chart, we can see that Bitcoin is down around 16% from the weekly open of $8,600. As the price fell to the previous support at $7,600, the 100-week moving average (MA) showed that the cryptocurrency found no support and sold off beyond the 61.8% retracement and down to the 65% retracement of the 2019 bull run where it has found immediate support.

Is the BTC price finally close to a bottom?

If we see the entire market cap and the cryptonews showing new losses today, it definitely does not feel like it. The sharp losses are here and lead many to believe that new losses would come. However, the $7,200 level is acting as resistance now and the bulls need to look for a weekly close above $7,600 for an escape from this bottom.

At first glance, the charts look bearish and it is true that BTC is trapped near the $7,000 region.