Bitcoin tests crucial support amid fourth consecutive weekly decline

Key takeaways

• Bitcoin, Ethereum, and XRP are tracking toward their fourth straight week of losses.
• This week, BTC has dropped over 2.5%, whereas ETH and XRP have decreased by more than 4% and 5%, respectively.
• BTC is changing hands near $77,900, sitting just above its 100-day EMA of $77,814.

Major cryptocurrencies extend October declines

On Friday, Bitcoin, Ethereum, and XRP continued to face downward pressure, putting all three digital assets on track for a fourth consecutive weekly decline dating back to early October.

Bitcoin has dropped by over 2.5% during the week. Meanwhile, Ethereum and XRP have retreated by more than 4% and 5% respectively, pointing to persistent weakness across the leading cryptocurrencies.

ETH dropped under $2,215, and XRP changed hands below $1.230. Bitcoin hovered around $77,477, forcing buyers to defend a critical level of longer-term support.

Bitcoin falls below its 100-Day Moving Average

The short-term technical outlook for Bitcoin deteriorated after it temporarily dipped beneath the 100-day Exponential Moving Average, which sits near $77,814.

Buyers must first recapture this threshold as resistance. Further up, the 50-day EMA around $80,585 serves as the next hurdle, followed by a horizontal ceiling at $85,000.

Reclaiming $77,814 would alleviate short-term selling pressure and bolster chances for consolidation within the current range. Nevertheless, a broader recovery demands that Bitcoin break past higher resistance markers.

At present, trading beneath the shorter-term moving averages leaves any attempted rallies vulnerable.

Bitcoin continues to hold just above its 200-day EMA at $76,423, which acts as the next major technical floor.

Sustaining this average would protect a key pillar of the macro uptrend despite the ongoing market correction.

Conversely, a decisive breakdown under this line would undermine that structure and heighten the probability of a deeper correction.

Consequently, how prices react around the $76,423 level will likely dictate whether Bitcoin manages to stabilize or prolongs its October sell-off.

Bitcoin’s Relative Strength Index (RSI) sits at 34, moving closer to the traditional oversold mark of 30.

This metric points to ongoing selling momentum. While stretched readings often precede a relief bounce, being near oversold levels does not guarantee a trend reversal.

Additionally, the Moving Average Convergence Divergence (MACD) indicator stays negative, corroborating a cautious short-term sentiment.

Given the sluggish momentum, buyers must protect the 200-day EMA and take back the 100-day average to signal a reduction in immediate downward pressure.