Bitcoin retains $23K but volume drops: What to expect?

Bitcoin price analysis
Source: TradingView

Bitcoin price analysis for August 5, 2022, comes on a sluggish note for the world’s biggest cryptocurrency as we can confirm that the prices have dropped by almost 0.03% in the last 24 hours and investors can expect the leading cryptocurrency to lose the $23K price level if the buyers don’t take charge. The nearest support for the token stands around the $22K price level which has held for long. If BTC loses this support, there is another major one around $19K-$20K which needs to hold to support the current bullish trend in the market.

As noted in our BTC price analysis for August 4, 2022, there is a strong resistance for the token at the $24K price region which means that the chances of the token breaking into an uptrend remain low. It will be interesting to see what happens in the near future.

The data from CoinMarketCap shows that the trading volume of the token dropped by 1.10% in the last 24 hours, followed by a 0.08% surge in the market cap. Moreover, the Volume / Market Cap has a value of 0.05855, while the Market Dominance dropped to 40.80%.

The daily candle for the token opened at a price of $22622 and reached a daily high of $23247. On the other hand, the daily low for Bitcoin stands at a price of $22586. The price of 1 Bitcoin at the time of writing is $23079.

Bitcoin price analysis for August 5 on the daily chart

Bitcoin price analysis for August 5, 2022, will consider the data from the daily chart below with three major indicators integrated into it.

Bitcoin price analysis
Source: TradingView

The RSI indicator reads a value below 55, i.e., bears aim to dominate the price action of Bitcoin.

The MACD line almost touching the signal line and a bearish divergence is very much possible.

The price action for Bitcoin is retesting the middle zone of the Bollinger Bands.

Conclusion

Bitcoin price analysis for August 5, 2022, ends on a sluggish note for BTC, with increased chances of losing $22K.

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