Bitcoin Suffers Technical Setback, Loses 100-Day Average as XRP, ETH and SOL Hold Ground

What to know:

• Bitcoin's price has fallen below the 100-day simple moving average for the first time since April, boltering the bearish outlook.
• The cryptocurrency's technical outlook has worsened, with prices also dropping below the Ichimoku cloud.
• Ether, solana, and XRP maintain relatively stronger positions.

Bitcoin's (BTC) technical outlook has deteriorated over the past 24 hours, with prices dropping below a key moving average for the first time since April. This breakdown has left BTC at a disadvantage compared to major tokens such as Ether (ETH), XRP, and Solana.

BTC has dropped over 1% in the past 24 hours, hitting a low of $109,172 at one point.

In the process, the cryptocurrency has convincingly dipped below the 100-day simple moving average (SMA), a widely tracked momentum indicator and support/resistance line, for the first time since April 22.

Further, prices have crossed below the Ichimoku cloud, indicating a bearish shift in momentum.

The dual breakdown has bolstered the bearish technical outlook suggested by the recent violation of the upward-sloping trendline from the April lows and the consecutive negative prints on the longer-duration MACD histogram. Taken together, the recent pattern looks similar to the February breakdown that set the stage for a deeper sell-off to $75K.

The next key level to watch out for is $105,390, which is the 38.2% Fibonacci retracement of the April-July rally, followed by the 200-day SMA at $100,928.

The bulls need to overcome the lower high of $117,416 created on Aug. 22 to negate the bearish technical setup.