Bitcoin Faces Strong Downward Pressure Amid Market Volatility, Short-Term Stability Expected – Market Analysis – 2025-11-23

Market Analysis

Bitcoin’s price has faced notable pressure after reaching a recent peak near 124,000. Despite a reduction in the Federal Reserve’s interest rates, buying momentum has remained subdued, increasing the likelihood of a short-term bearish trend. Today’s in-depth technical and sentiment analysis aims to explore the current market dynamics in detail.

Examining the data from the past five days reveals a clear downward trajectory for Bitcoin’s price. Starting at 92,215 on November 18, it closed at 84,739 on November 22, marking a decline of approximately 8,000 points. The 7-day Relative Strength Index (RSI) has consistently stayed below 20, indicating an intensely oversold market. Similarly, the 14-day Money Flow Index (MFI) remains below 20, reflecting weak investor sentiment and reduced liquidity. Both indicators suggest a lack of buying interest and a prevailing bearish trend.

Looking at the Bollinger Bands, the price is hovering near the lower band, signaling ongoing downward pressure. However, the bands have not widened significantly, which typically signals heightened volatility. This suggests that, although downward pressure persists, no major market shifts are imminent at this time. Moving averages based on Hull Moving Average (HMA) are trending downward as well. Notably, the 7- and 14-day HMAs have crossed below the current price, underscoring a weakening trend. The 50- and 100-day moving averages are also turning downward, indicating broader, longer-term pressure.

Regarding support and resistance, the S1 support zone between 84,474 and 83,949 has been recently tested. The close at 84,739 suggests this level is holding for now, but a breakdown here could open the door to the next support zone (S2) between 81,115 and 79,939, which may trigger further declines. On the resistance side, the range from 84,947 to 85,799 (R1) is presently capping upward movement. A stronger barrier exists at R2 between 90,375 and 93,265, with the psychological resistance level of 90,000 playing a significant role in limiting gains.

Market sentiment, as measured by the Fear & Greed Index, has remained near extreme fear levels, fluctuating between 11 and 15 over the last five days. This reflects heightened caution and anxiety among investors. Additionally, open interest has dropped by 6.3%, and the funding rate is hovering near zero, indicating waning market enthusiasm and a potential increase in short positions. Macroeconomic uncertainties persist despite the Fed’s rate cuts, further encouraging a cautious stance among market participants.

The MACD indicator also confirms bearish momentum, with a downward crossover below the signal line. Trading volume has declined, notably on November 22, highlighting market weakness. Taken together, both technical and sentiment indicators point to continued pressure on Bitcoin’s price and a dominant short-term bearish trend. However, given the oversold readings in RSI and MFI, a limited rebound or temporary stabilization cannot be ruled out.

In summary, Bitcoin’s price has encountered clear downward pressure following its recent peak, with technical signals pointing to a bearish outlook. Close monitoring of support levels is crucial, as their breach could accelerate declines, while resistance levels continue to restrict upward movement. The prevailing fearful sentiment and reduced trading volume reflect investor caution. Despite the absence of immediate recovery following the Fed’s rate cuts, oversold conditions suggest some scope for short-term relief. Investors are advised to remain vigilant and closely track market developments moving forward.

Data Summary

• 1. Time:
  2025-11-23 – 00:00 UTC
• 2. Prices:
  Open: 85129.42000000
  High: 85620.00000000
  Low: 83500.00000000
  Close: 84739.74000000
• 8. Supports:
  S1: 84474.69000000 – 83949.52000000
  S2: 81115.78000000 – 79939.90000000
  S3: 78595.86000000 – 76322.42000000
  S4: 67969.6 – 66034.5
• 9. Resistances:
  R1: 84947.91000000 – 85799.99000000
  R2: 90375.20000000 – 93265.64000000
  R3: 94270.00000000 – 95461.53000000
  R4: 96887.1 – 98345
• 10. Psychological Support:
  80000.00000000
• 11. Psychological Resistance:
  90000.00000000
• 3. Last 5 days’ closing prices:
  2025-11-18: 92960.83000000
  2025-11-19: 91554.96000000
  2025-11-20: 86637.23000000
  2025-11-21: 85129.43000000
  2025-11-22: 84739.74000000
• 4. Volume:
  BTC: 14193.9326
  USD: $1197657354.9690
• 5. Number of trades:
  4697593
• 6. Indicators:
  RSI: 13.8100
  MFI: 12.7000
  BB Upper: 112607.04000000
  BB Lower: 83805.59000000
• 7. Moving Averages:
  SMA:
  7=89642.68000000
  14=95202.03000000
  21=98206.32000000
  30=102153.32000000
  50=106913.94000000
  100=110345.99000000
  200=109572.21000000

  EMA:

  7=89270.43000000
  14=93587.93000000
  21=96676.23000000
  30=99563.17000000
  50=103545.06000000
  100=107157.27000000
  200=105954.42000000

  HMA:

  7=82954.79000000
  14=85320.62000000
  21=86362.81000000
  30=89197.60000000
  50=93129.53000000
  100=100045.80000000
  200=107756.46000000
• 12. Funding Rate:
  0.0051%
• 13. Open Interest:
  98408.8610
• 14. Fear & Greed Index:
  11 (Extreme Fear)

Disclaimer: This market analysis is generated by AI based on historical BTC data and sentiment indicators. Use it as a reference, not financial advice.