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Bitcoin Momentum Weakens; Support at $35K-$37K

Bitcoin (BTC) price momentum has weakened over the past month, which suggests the current trading range could persist into next week. Upside appears to be limited.Read MoreFeedzy

Bitcoin (BTC) is testing support around its 100-week moving average, although upside momentum has slowed over the past month. The cryptocurrency could remain in a wide trading range until a decisive breakout or breakdown occurs.

BTC is on track for an 18% decline this month and is down about 40% from its all-time high around $69,000 reached in November of last year.

Most technical indicators are neutral on the daily and weekly chart and bearish on the monthly chart. That could increase the risk of a breakdown in price, especially if support at $37,500 fails to hold.

A series of higher price lows since Jan. 24 has supported buying activity on dips. Still, resistance at $46,710 has capped rallies over the past three months.

For now, BTC is on watch for a countertrend reversal signal next week, per the DeMARK indicators, which typically precedes a brief upswing in price.

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