Bitcoin
Bitcoin price falls below critical support level after rejection at $70,000
Bitcoin has fallen recently below critical support level between US$67,000 and US$68,000, having failed to exceed the $70,000 Price Level successfully. Based on analysis by crypto analyst Josh, the top cryptocurrency needs to rise above this critical support level soon or risk entering a downtrend.
Bitcoin needs to rise above $68,000
Josh mentioned in a video on his YouTube channel that Bitcoin needs to achieve a confirmed breakout above $68,000 to turn bullish again and possibly experience further upward moves towards resistance levels between $72,000 and $74,000. With Bitcoin currently below $67,000the crypto analyst noted that the area between $67,000 and $68,000 It is now an area of strong resistance and one to watch in the near term.
Bitcoin’s failure to rise above $68,000 soon could lead to more short-term pullbacks to between $63,000 and $64,000, an area where Josh stated there is a decent amount of trading volume. The crypto analyst also suggested that Bitcoin drops to $64,000 it could happen quickly, as highlighted by the volume profile indicator, which showed that there is little volume traded between $66,000 and $64,000.
Meanwhile, Josh described a scenario where Bitcoin could rise to around $67,000 to gain a large amount of liquidity and liquidate short positions around that area. He noted that this area coincides with the resistance level between $67,000 and $68,000.
As such, he warned that Bitcoin could experience a short-term bounce and then be rejected at the resistance level. He again stated that Bitcoin would need to surpass $68,000 to confirm that the pullback is over.
A big move on the horizon for BTC
Analyzing Bitcoin’s four-day chart, Josh stated that the Bollinger Bands are still tightening, which points to a “big shift” that will occur at some point in the coming weeks. He added that the movement would be volatile and that Bitcoin could potentially see a price movement of 20% to 30%.
On the broader timeframe, Josh noted that Bitcoin is still trading sideways and within a massive consolidation that usually occurs during a “much larger uptrend.” As such, the analyst suggested that Bitcoin is still far from the top of the market despite the recent price decline. Based on predictions made by other crypto analysts such as CrediBULL Cryptoit is still expected that Bitcoin rise to $100,000 in this market cycle.
Crypto Analyst Rekt Capital also warned about these price drops amid this bull run. He claimed that Bitcoin would pull back enough to convince anyone that the bull run was over before resuming its uptrend.
At the time of writing, Bitcoin is trading around $65,400, down 1% in the last 24 hours, according to data from CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com