After swinging through heavy uncertainty, bitcoin price has been showing some stability in the price over the past few hours. It seems that a significant amount of buying has accumulated and hence the price has slipped from the lower support. An extended rise could propel the price above the $29,700 level, but the bears are still dominant and ready for an upcoming move.
Bitcoin’s extended consolidation has been seen twice before. And each time the asset has managed to undergo a major bullish trend. Despite the bearish predictions surrounding the asset, the prospect of a bull market does not disappear. As pointed out by a popular analyst, BTC price acts as a hoax, then a fake-breakdown before a major jump.
On the other hand, the short-term analysis is extremely bearish as the price is swinging within a descending parallel channel. The price is currently making several lower highs and lows and is being consistently rejected from the resistance levels. And therefore it appears that a hit to the $26,600 low may be imminent, prior to the significant rise mentioned above.
As seen in the above chart, BTC price is currently testing the middle band of the channel where similar buying and selling pressure is being observed. However, sellers dominated the rally and hence, a significant decline in prices can be expected. However, both the RSI and MACD are bearish hence, there are chances of a downside break only towards the $26.6k support.
