After briefly trading above the $20,000 mark, the Bitcoin (BTC) price has dropped below $19,000. The asset also saw extremely high trading volume, the highest in the previous three to four months. It is therefore clear that the asset was consistently under a bearish influence, and, as a result, a sharp downward trend may be on the horizon.
It has been predicted for quite a long time that Bitcoin is on its way to reaching the lower support area of around $14,000 to $16,000. In the upcoming days, there is still a chance for the price of BTC to quickly surpass $20,500. However, as suggested by one of the well-known analysts, the asset could drop significantly more before reaching the lower support zone.
While Bitcoin briefly increased in price, it ended with an upside wick that suggests a new resistance level at $19,298.23. A strong resurgence of a bearish trend could occur if the BTC price closes the day’s trading below these levels. On the other hand, a close above these levels might ultimately invalidate the bearish trajectory, which might further lay the groundwork for a significant upswing to come.
Although the BTC price may be making some market participants angry right now, it is clear that the asset is still trading in a downward channel. As a result, a small upswing may be anticipated because, as long as the price of bitcoin stays within the pattern, a larger upswing may follow.
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Source: https://coinpedia.org/price-analysis/a-new-bitcoinbtc-price-quarterly-candle-is-looming-large/