Daily Trading Analysis: A Detailed Breakdown of Market Momentum BTC 24th March 2025
Bitcoin has seen a significant test of key technical levels over the past 24 hours, with price action reflecting both bullish and bearish signals. As the market reacts to critical support and resistance zones, traders are closely watching whether BTC can sustain its recent momentum or if a reversal is imminent. Today’s analysis breaks down the key movements on the 30-minute and daily timeframes to provide a clearer picture of what may come next.
30-Minute Analysis
Following on from yesterday, Bitcoin broke above a confluence zone at the daily descending trendline and the key level at $83.7K. After this break, price hovered around the descending trendline until the market open, where it experienced a clear breakout. However, BTC faced strong rejection at the $88.4K price range, a level that acted as firm resistance throughout the session.
As the Asian markets opened, BTC initially found support at the 50 EMA but soon broke below it. This downward movement led to price finding support at the key $86.3K level, with resistance forming at $86.7K. BTC recently broke above this range but is once again encountering resistance at the descending trendline. One technical factor to consider is the RSI’s bearish divergence throughout the move from Sunday to Friday. While RSI alone doesn’t dictate price direction, this divergence, combined with BTC’s failure to break the descending trendline and its movement below the 50 EMA, could suggest potential short opportunities leading into Tuesday’s New York session.
Daily Analysis
On the daily timeframe, Bitcoin continues to struggle against the descending trendline and the 50 EMA, signaling lingering bearish sentiment. Additionally, trading volume during yesterday’s session failed to rise above the 20-day moving average of volume, reinforcing the thesis that volume has not sustained the recent rally. This lack of volume could indicate weakness in the current move.
Further adding to the bearish outlook, the 50 EMA is approaching the 200 EMA, forming what is commonly known as a “death cross.” This technical pattern is often considered the final confirmation of a bear market and a strong bearish signal for traders looking for short opportunities.
Summary
Bitcoin’s price action remains in a precarious position. While it managed to break key levels, the failure to sustain momentum above the descending trendline, the rejection at $88.4K, and the break below the 50 EMA indicate potential downside risk. With volume failing to confirm the bullish move and the looming death cross on the daily chart, traders should closely watch for further bearish confirmation in Tuesday’s session.
