Bitcoin on track for third straight negative weekly close below $4000

Bitcoin prices dropped below a few dollars below the $3500 mark on Friday to renew its weekly low as the digital currency continues to suffer from negative comments. As of writing, the BTC/USD pair is trading at $3570, down nearly 1% on the day, and losing around $100 on the week.

On Friday, Jamie Dimon, the CEO of JPMorgan Chase Bank, "right now these crypto things are kind of a novelty. People think they're kind of neat. But the bigger they get, the more governments are going to close them down," told CNBC. Earlier in the month, Dimon had claimed that bitcoin was a fraud and wouldn't end well as it was not legally supported, unlike currencies. Moreover, speaking at a conference, Vitor Constancio, the vice president of the European Central Bank, “said that bitcoin wasn't a currency and was an instrument of speculation.

Technical outlook

Following Monday's strong upsurge, the BTC/USD pair is looking to close its fourth day in a row with losses. With this week's price action, the RSI indicator on the daily graph broke below the 50 mark and continued to push lower, suggesting that the bearish momentum is gathering strength. On the downside, supports could be seen at $3475 (Sep. 17 low), $3270 (100-DMA) and $3000 (psychological level). On the flip side, $4000 (psychological level) is the first critical resistance ahead of $4115 (Sep. 18 high) and $4380 (Sep. 12 high).