Bitcoin

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According to Mikołaj Zakrzowski, a leading Web3 analyst at cryptocurrency analytics firm Cryptoquant, the&nbsp;current market conditions are leaning in favor of the bears. 
The analyst <a href="https://twitter.com/StackSmartly/status/1694309647090434435" rel="noopener noreferrer nofollow">pointed</a> to the fact that the sell volume from Bitcoin takers substantially overshadows the buy volume. This sort of market setup has previously proven unfavorable for the flagship digital currency. 
<img alt="BTC" data-entity-type="file" data-entity-uuid="e0443e06-1f75-43df-8749-53786ed4c696" src="https://u.today/sites/default/files/inline-images/F4Nj_C5WAAA7uTT.jpeg">Image by <a href="https://twitter.com/StackSmartly/status/1694309647090434435" rel="noopener noreferrer nofollow">@StackSmartly</a> 
As of now, more market participants are looking to sell Bitcoin than buy it, creating a supply and demand imbalance. When there is more supply than demand, prices tend to drop. 
At the same time, Evai CEO Matthew Dixon&nbsp;<a href="https://twitter.com/mdtrade/status/1694305324386173396" rel="noopener noreferrer nofollow">emphasized</a> concerns regarding the U.S. Dollar Index (DXY) breaking its resistance level. 
This breach suggests a stronger dollar outlook, which could potentially spell trouble for risk assets like Bitcoin and its altcoin peers. 
At press time, the world's largest cryptocurrency is priced at $26,000.22, with a 24-hour trading range between $25,574.72 and $26,183.10. Its market capitalization stands at over $506 billion. 
Despite the grim technical picture, there are still some signs of hope. Notably, the cryptocurrency's value remains above a crucial support benchmark of $25,157, which is the November 2022 volume weighted average price (VWAP). 
Some analysts have also pointed out bullish divergences that have formed on various Bitcoin charts, suggesting a potential upward price trajectory. 
Thus, while there are indications of possible headwinds for Bitcoin and other cryptocurrencies, some experts believe there is room for a bullish turnaround.

More Troubling Signs for Bitcoin (BTC)

U_Today

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