Bitcoin Shows Signs of Weakness Amid Continued Cautious Investment Trends – Market Analysis – 2025-11-26

Market Analysis

Bitcoin has recently struggled to break past the key resistance level of 124,000, remaining confined within a stable yet subdued trading range. Despite the Federal Reserve’s interest rate cuts, buying momentum appears weak, fostering a cautious atmosphere among investors. Today, we will delve deeper into the current market dynamics by examining technical indicators alongside prevailing market sentiment.

Over the past five days, Bitcoin has shown a complex but evident weakening trend. On November 21, the price experienced a sharp decline, falling to 80,600 before closing the day at 85,129. Both the 7-day Relative Strength Index (RSI) and the 14-day Money Flow Index (MFI) dropped to very low levels, signaling a clear oversold condition. Although there was a slight improvement afterward, these indicators mostly remained below 20, maintaining a bearish tone in the market. The Fear and Greed Index hovered between 14 and 20, reflecting extreme fear, which typically signals short-term buying opportunities; however, this time the market did not show significant strength. Trading volume and activity also diminished, especially on November 22 when volume nearly halved, underscoring weak market interest.

Reviewing moving averages reveals a mixed picture. The 7-day Hull Moving Average (HMA) has been gradually rising within a range of 85,000 to 87,900, hinting at a mild short-term uptrend. Conversely, the 14-day and 21-day HMAs have declined, pointing toward medium-term weakness. Notably, the 21-day HMA dropped from 88,418 to 83,640, indicating instability in Bitcoin’s price over the medium term. Examination of the Bollinger Bands shows that the price has mostly remained near the lower band, suggesting persistent downward pressure. On November 21, the price touched the lower band, followed by a modest rebound over the next few days; however, by November 25 it returned close to the lower band again, marking a weak bounce.

In terms of support and resistance, Bitcoin’s price has been range-bound between 85,000 and 88,500. The first strong support zone (S1) lies between 83,111 and 84,739. A breach below this could expose the next support range (S2) between 80,818 and 82,715, which also includes the psychological level of 80,000. Further down, the S3 support range spans 76,322 to 78,595, offering significant medium-term support. On the resistance side, the initial resistance zone (R1) lies between 88,300 and 89,530, close to recent highs. Above this, R2 extends up to 91,449, featuring the psychological resistance at 90,000, which could prove challenging to surpass. Higher resistance levels R3 and R4 exist but are distant and less relevant in the short term.

From a sentiment perspective, financing rates remain negative and open interest has declined by 3.56%, indicating a reduction in short positions and waning market engagement. Despite the Fed’s rate cuts, Bitcoin’s price stability remains elusive, highlighting investor caution and a lack of broad buying enthusiasm. The combination of low Fear and Greed Index readings and subdued volume suggests that fear still dominates the market. Yet, the pace of price decline has slowed, reflecting a fragile but balanced state.

Overall, Bitcoin currently exhibits technical and emotional signs of weakness. Low RSI and MFI levels, repeated testing of the lower Bollinger Band, and mixed signals from moving averages point to uncertainty and a fragile upward momentum. Key support zones will be critical; a breakdown could lead to further declines, though at present there is no clear bearish or bullish breakout on the horizon. Investors are advised to remain cautious and closely monitor evolving market data and news before making decisive moves.

Data Summary

• 1. Time:
  2025-11-26 – 00:00 UTC
• 2. Prices:
  Open: 88300.01000000
  High: 88519.99000000
  Low: 86116.00000000
  Close: 87369.96000000
• 8. Supports:
  S1: 84739.74000000 – 83111.64000000
  S2: 82715.03000000 – 80818.84000000
  S3: 78595.86000000 – 76322.42000000
• 9. Resistances:
  R1: 88300.01000000 – 89530.54000000
  R2: 90606.01000000 – 91449.99000000
  R3: 96887.14000000 – 98345.00000000
  R4: 103262 – 104550
• 10. Psychological Support:
  80000.00000000
• 11. Psychological Resistance:
  90000.00000000
• 3. Last 5 days’ closing prices:
  2025-11-21: 85129.43000000
  2025-11-22: 84739.74000000
  2025-11-23: 86830.00000000
  2025-11-24: 88300.01000000
  2025-11-25: 87369.96000000
• 4. Volume:
  BTC: 19567.0411
  USD: $1708989000.0389
• 5. Number of trades:
  4838747
• 6. Indicators:
  RSI: 32.5500
  MFI: 12.4700
  BB Upper: 109680.18000000
  BB Lower: 81387.60000000
• 7. Moving Averages:
  SMA:
  7=87223.05000000
  14=91538.24000000
  21=95533.89000000
  30=99662.97000000
  50=104753.30000000
  100=109426.56000000
  200=109438.55000000

  EMA:

  7=88270.17000000
  14=91471.03000000
  21=94398.19000000
  30=97377.82000000
  50=101731.26000000
  100=106012.69000000
  200=105409.05000000

  HMA:

  7=87922.59000000
  14=84558.30000000
  21=83640.95000000
  30=85140.92000000
  50=89043.26000000
  100=96696.40000000
  200=105802.06000000
• 12. Funding Rate:
  -0.003% (Technically Positive)
• 13. Open Interest:
  93201.2960
• 14. Fear & Greed Index:
  20 (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.