Bitcoin Inches Close to $70,000-But Here’s Why A Pullback Before the Moonshot Is Imminent

The Bitcoin price tried hard to break above the upper resistance of the bearish pattern during the previous trading day, but the bears appear to have a different plan. The crypto accumulated within the range for nearly seven months; hence, a breakout could have had a major influence on the next price action. Unfortunately, the bulls appear to be facing notable upward pressure at the resistance, which could validate a rejection if the BTC price loses a pivotal support. 

However, the bulls continue to defend the lower support at $67,277 and if the price slips below the range, one can expect a deeper retracement. 

The BTC price appears to have reversed the trend in the past couple of months and has been constantly forming higher highs and lows. Nevertheless, the levels remain stuck within a descending parallel channel in the wider perspective and the latest pullback from the resistance could flash bearish signals for the crypto. 

The BTC price has demonstrated massive recovery after every pullback, but the main observation lies around the higher highs that it failed to hold every time. Now that the price appears to be repeating a similar pattern, yet another pullback seems to be fast approaching. If bear flags have been let out, how deep can we expect the price to retrace?

Considering the current trade setup, it appears that the bulls continue to hold significant strength, which is accompanied by the rise in BTC dominance. These factors are believed to elevate the levels above $70,000. As there are only a couple of resistances below the ATH, the market participants could become sure of hitting a new ATH. But the dominance is about to hit its peak and hence a reversal could be imminent. In such a case, how deeper can the BTC price retrace?

The Bitcoin price may experience a pullback from now into the election as job data shows weakness in the US, but if Donald Trump wins, it may moon. Conversely, if Harris wins, we can get a price crash as low as $50,000 before picking up in the new year. However, if the BTC price blasts through $70,000 now, it could consolidate a bit into the election and further trigger a massive upswing later.