‘$40,000’, currently is not less than a nightmare for Bitcoin and the entire crypto space as all eyes lie on these levels throughout the past week. The most dominant asset has never appeared so vulnerable in recent history that it has to thrive to achieve the in-distinct targets. Despite the misty phase ahead, yet the BTC price is still capable of going parabolic to hit the ATH. But will it be in Q1 2022, is the burning question within the crypto space.
Bitcoin price made a fruitful attempt of barging in through the $42,000 levels since the early trading hours. Due to the narrow trend, the upcoming price move remained misty that making the traders approach their breaking point. Yet, luckily, the BTC price jumped above $42,000 and kept hopes of a notable uptrend alive.
The star crypto appears to be very scary to choose the direction of the next price movement. A slight drop may hit the $40K zone which is believed to be pretty crucial. As the price during the 2021 bull run reversed its trend at these levels multiple times. Yet the technicals point out that the Bitcoin bottom is already in and due for a bounce.
The RSI levels for the BTC price has bottomed yet again in the higher time frame signifying the upcoming bounce soon. The previous 2 times these levels slumped to the bottom levels were during the March 2020 Covid Crash and the recent May 2021 Summer crash. Each time the asset has rebounded with a large margin and hence this time also a similar trend may be fast approaching.
It is important to note that the BTC price successfully registered new ATH after each crash, where RSI bottomed hard. It was just a matter of months, Bitcoin raised high & sliced through the ATH levels. And hence if the price rebounds from the current levels, then $100K may not be distinct for the asset in 2022.
Source: https://coinpedia.org/bitcoin/bitcoin-bull-uplift-the-price-above-42k/