Bitcoin rally could end in tears

by Barry Solano
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Bitcoin is again at a crossroads. Prices bounce between $ 61,000 and $ 104,000 for about seven months. This fork is very similar to $ 31,000 at $ 64,000 on the side before the sharp decline at the beginning of 2022. Traders and analysts are divided that history is about to repeat themselves or if a new request will keep Bitcoin at altitude.

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Price stuck in a familiar range

According to reports, the Bitcoin section of $ 61,000 at $ 104,000 reflects the “distribution area” of 2020-2021 when it was negotiated between $ 31,000 and $ 64,000 for almost a year. At the time, the slide arrived quickly: Bitcoin Canned around $ 69,000 in November 2021, then sank at around $ 15,600 in November 2022. It was a dive of almost 78%.

The escapes continue to fall flat

Based on the analysis of Michaël Van de Poppe, Bitcoin tried and failed to stay above $ 106,000 this month. Its graph has shown rapid rejection to this barrier, triggering long -term liquidations. The price returned to the area from $ 104,000 to $ 105,000 after the failure of failure. Traders consider each unsuccessful escape as a sign of distribution warning.

Raid slide risk

According to veteran merchant Peter Brandt, solid fundamentals often shine the brightest just before a market summit. He stressed that if today’s configuration led to a similar drop of 78% compared to the $ 105,000 band, Bitcoin could fall around $ 23,600. Its simple mathematics recall the passage of the latest cycle from about $ 69,000 to $ 15,500.

Growing demand meets technical obstacles

Depending on the reports of ETF Spot And increasing purchases by institutions and governments, some believe that the soil is firmer now. Huge investment flows in Bitcoin have never been higher. However, technical obstacles remain. The inability to erase $ 105,000 makes analysts cautious.

Bitcoin is now negotiated at $ 105,718. Chart: Tradingview

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Long -term signals are always bullish

Delay Tardigrade noted that the 50 days and 200 days of Bitcoin’s simple moves have recently constituted a golden cross. In past cycles, this model resulted in gains of 50%, 125%and 65%. It indicates a possible rally if buyers intervene in current levels.

What it means for investors

The Bitcoin tug between prudence and optimism is clear. On the one hand, the patterned observers warn against a large drop if the support breaks. On the other, strong hands of the great players can amortize any slide and trigger a rally. Investors should keep an eye out of $ 104,000 at $ 105,000 for signs of weakness or strength.

A break below could open the door to a movement around $ 23,500. Conversely, a net break greater than $ 106,000 could report the slight step. Anyway, volatility should remain high, so risk management remains the key.

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