Bitcoin price hits multi-day low as data warns of 'overbought' stocks

Major resistance levels enter for US stocks, bringing with them new headwinds for crypto as Bitcoin and Ether drop 24 respectively $000 and $2000.

Market Update

Bitcoin (BTC) reached intraday support on August 16 as concerns emerged over the fate of US equity markets.

BTC/USD 1-Hour Candle Chart ( Bitstamp). Source: TradingView

US stocks face strong resistance

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD hitting $23,685 on Bitstamp, approaching lows on August 12.

After an eerily quiet 24 hours, the decline settled into Wall Street's open that day, with previous highs above $25,000 looking more and more like a double top.

#BTC is currently plunging in a potential new technical test of previous resistance $BTC #Crypto #Bitcoin https://t. co/quL4gaM2nG pic.twitter.com/zrqzIbCvp2

— Rekt Capital (@rektcapital) August 16, 2022

Analyzing the potential outcomes, a typically conservative Crypto Il Capo warned that the upside was now highly unlikely given Bitcoin's inability to breakout.

“Two options, both bearish,” he began a new Twitter update that day, saying.

"1) Up to 25400–25500 then reversal of this average uptrend, straight to new lows. 2) Straight...