An analysis of Bitcoin's 4-hour chart reveals a weakening downtrend. While the current price action indicates bearish momentum, several indicators suggest potential for a reversal or consolidation phase.
Weak Downtrend: The diminishing volume on bearish candles and the ADX below 25 indicate a loss of downward momentum.
Potential Reversal: The elevated Chaikin Volatility suggests increased market uncertainty and potential for a trend reversal.
Oversold Conditions: The RSI approaching the oversold level of 30 signals potential buying pressure and a possible upward correction.
However, it's crucial to consider broader market sentiment, fundamental factors, and potential external influences. A cautious approach, coupled with robust risk management strategies, is recommended.