The cryptocurrency market continues to respond to developments in the Bitcoin ETF process, as Grayscale’s recent Bitcoin sales and investor exits exert downward pressure on Bitcoin prices. Bitcoin, which initially surged to $49,000 following ETF approvals last week, has now dipped below $41,000 due to profit-taking. This decline has led to a breakdown of the rising channel pattern on the four-hour chart.
On the four-hour Bitcoin chart, crucial support levels to monitor include $40,805, $40,133, and $39,416. A close below the $40,805 level, previously a support, may result in increased selling pressure.
Regarding resistance levels, key points to watch are $41,265, $41,710, and $42,328. Achieving a four-hour close above the $41,710 level, intersecting with the support line, could potentially help Bitcoin regain momentum.
Investors and traders are closely focused on these technical levels amid the current volatility driven by ETF news and Grayscale’s activities.
