Key Insights:

• On Wednesday, bitcoin (BTC) slid by 3.00% to end the day at $30,180. The bearish session saw bitcoin fall to sub-$30,000 for an eighth consecutive session.

• Market jitters over inflation resurfaced, driven by a spike in crude oil prices, which weighed on riskier assets.

• The Fear & Greed Index fell back from its highest level since June 1, suggesting the risk of further losses.

On Wednesday, bitcoin (BTC) slid by 3.00%. Following a 0.77% loss on Tuesday, bitcoin ended the day at $30,180.

A mixed start to the day saw bitcoin strike an early morning high of $31,305 before hitting reverse.

Falling short of the First Major Resistance Level at $32,039, bitcoin slid to a day low of $29,840 before finding support.

Steering clear of the First Major Support Level at $29,698, bitcoin ended the day at $30,000 levels. Bitcoin visited sub-$30,000 for the eighth day in a row.

The Bitcoin Fear & Greed Index Spells Trouble for the Bulls

Today, the Fear & Greed Index fell from 17/100 to 11/100. Falling back from the highest level since Jun 1, the Index fell deeper into the “Extreme Fear” zone, reflecting investor fears of more significant losses.

While remaining deep within the “Extreme Fear” zone, the Index held above May’s low of 8/100.

On Wednesday, market angst over inflation resurfaced, leading the NASDAQ 100 and bitcoin into the red.

Bitcoin tracked the NASDAQ 100 through the US session. In recent sessions, bitcoin and the NASDAQ 100 also saw an inverse correlation with WTI crude oil prices strengthen.

With crude oil prices a primary factor behind US inflation at 40-year highs, market sensitivity to crude oil prices is unlikely to abate any time soon.

Bitcoin (BTC) Price Action

At the time of writing, BTC was down 0.20% to $30,130.

A mixed start to the day saw BTC strike an early high of $30,224 before falling to a low of $30,053.

Technical Indicators

BTC will need to move through the $30,441 pivot to target the First Major Resistance Level at $31,041.

BTC would need the broader crypto market to support a breakout from $30,500.

An extended rally would test the Second Major Resistance Level at $31,908 and resistance at $32,500.

Failure to move through the pivot would test the First Major Support Level at $29,579. Barring an extended sell-off, BTC should steer clear of sub-$29,000 levels. The Second Major Support Level sits at $28,976.

Looking at the EMAs and the 4-hourly candlestick chart (below), it is a bearish signal. Bitcoin sits below the 50-day EMA, currently at $30,274. The 50-day EMA converged on the 100-day EMA. The 200-day EMA narrowed to the 50 and 100-day EMAs, suggesting an imminent move.