Bitcoin (BTC) faced a further price decline within the last 24 hours, experiencing a drop to $28,300 – a level not seen in nearly two months.

Altcoins, on the other hand, encountered even steeper losses, with Ethereum (ETH) slipping below $1,800. The total market capitalization also sustained daily losses of $40 billion over the last two days to now stand at $1.13 trillion.

Bitcoin Price Hits a 2-Month Low

During the past week, Bitcoin maintained a sideways trading pattern within a narrow range of $29,200 to $29,600. The asset witnessed a notable price surge on Monday due to the news of the launch of the first spot BTC ETF in Europe. This initial excitement propelled the price to $29,665 on Coinbase.

However, the tide swiftly shifted, leading to a rapid decline in the big crypto's value. By Tuesday, it had dipped to $29,000, but the situation worsened within the following 24 hours.

Bearish sentiment took firm control of the market, driving the cryptocurrency's value further south. During this period, Bitcoin dropped to $28,316 on Thursday – its lowest price since mid-June.

Despite recovering a few hundred dollars to the current price of $28,431, BTC is still about 2% down on the day. Its market capitalization has declined to $554 billion, but its dominance over the alts stands still at 49%.

At the moment, BTC bulls are fighting to hold the world's largest crypto above the middle boundary of the descending channel at $28, 400. The bears are aggressively defending this level.

Therefore, a daily candlestick close below this would see BTC drop to seek solace from the $28,000 psychological level or the lower boundary of the channel at $27,540. A move lower would confirm lower lows for the pioneer cryptocurrency as losses to $25,000 come into the picture.

BTC/USD Daily Chart

This gloomy outlook was supported by the downward-facing moving averages which were moving above the price. They provided areas of stiff resistance on the upside making the path with the least resistance to be downward.

Moreover, the Relative Strength Index was also facing downward. Its position at 34 close to the overbought region showed that the bears were firmly in control of the Bitcoin price.

On the upside, BTC needed to rise back above the 200-day SMA at $28,570. This would bolster the price higher to tag the 50-day SMA at $29,240, where the upper boundary of the falling channel was found. This is where Bitcoin's upside could be capped in the short term.