Fidelity exec says Bitcoin is ‘technically oversold,’ making $40K a ‘pivotal support’ By Cointelegraph

© Reuters.

A painful retracement in the (BTC) market earlier this week sent the price below $40,000 for the first time since September 2021.

Many analysts predicted the decline to continue toward the $30,000 to $35,000 range, but the price reclaimed $40,000 as support again and on Wednesday BTC made an abrupt move above $44,000. This rekindled hopes that the $40,000 level is perhaps where Bitcoin may bottom out before continuing its move higher in 2022.

daily price chart. Source: TradingView

A clear bounce in Bitcoin’s Stochastic RSI

BTC/USD price chart featuring its recent pivot at support and Stochastic RSI readings. Source: Fidelity
Bitcoin supply and demand models. Source: Fidelity

BTC/Gold ratio suggests Bitcoin is oversold

Bitcoin vs. Gold. Source: FMRCo, Bloomberg, Fidelity