BitMine shares fall 7% as doubts grow over recovery; The charts indicate a deeper weakness

Bitmain (BMNR) is trading near $29, down almost 7% after a sharp jump of 15% that came around its heavy purchase of Ethereum. The rally helped stabilize sentiment for a moment, but the recent pullback in Bitmain’s price shows that the recovery remains fragile.

Both large money flows and trend signals indicate that the rally has not received sufficient confirmation.

The Chaikin Money Flow (CMF) indicator, which tracks whether large buyers are supporting the price, is still trading below zero and below a downtrend line. This means that money flows into… BMNR is weak, Although the company continues to buy Ethereum in large quantities.

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This is important because the closer the CMF indicator is to the trend line and the zero line in the last two months, the more the BMNR recorded a short rally that later failed. The only time the rally lasted was at the end of September, when the CMF broke above zero. This move sent the stock up 39%.

At the moment, the CMF does not come close to replicating that signal. Until the trend line and the zero line are broken, the hope of recovery remains weak.

Directional pressure is also mounting. There are two bearish crosses that form:

• The 50-day EMA is close to the 100-day EMA, and
• The 20-day EMA is close to the 200-day EMA.

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EMA crossovers compare average price trends. Similar crosses on November 3 and November 14 recorded declines of 17% and 29%.

With exposure BMNR too Ethereum’s volatility due to its large holdings of ETH adds another layer of downside risk.
if ETH weaknessThe effect of these intersections can be amplified when they form.

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BitMine’s price levels show why the rebound remains fragile

On the price chart, the BMNR price failed to recover $31.57, This is a similar level highlighted earlier As the first sign of true strength. The price of BitMine is close, but could not close above, which reinforces that buyers are not in control.

While the BMNR remains below $31.57, bearish scenarios remain active.

Key bearish levels are now found at:

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• $26.99 (23.6% Fibonacci)
• $24.15 (38.2% Fibonacci, strongest support)

If it breaks both levels, the price of BitMine could also go to $16.29.

These supports show why the recovery remains uncertain. Without a CMF break and close above $31.57, BitMine’s recovery will continue to face resistance, and the charts leave room for a deeper pullback.

However, a clean close above $31.57 could invalidate the bearish scenario now and could push BitMine’s price even further to $43.83. But this requires Ethereum to also show strength.