Bull Trap Threatens BTC Holders For Upcoming Correction

bitcoin btc price

Published 16 hours ago

Amid the recent recovery in the crypto market, the Bitcoin price rebounded from the $21500 support. This post-correction recovery is a sign that coin buyers are managing to sustain above-higher levels, and the market sentiment is shifting from selling on rallies to buying on dips. However, the high supply pressure around $24260 to $22160 limits Bitcoin’s potential growth

Key Points:

  •  The Bitcoin price rejection from the $24452 resistance hints at an upcoming correction.
  • If the selling pressure persists, Bitcoin is posed to tumble 5.5% before hitting the next significant support.
  • The intraday trading volume in Bitcoin is $15.1 Billion, indicating a 13% loss.

Bitcoin PriceSource-Tradingview

After the release of January CPI data on February 14th, the Bitcoin price started to witness a significant inflow. Thus, the coin price rebounded from the $21500 support and surged 12.75% higher to breach the last swing high resistance of $23825.

Furthermore, on February 16th, the BTC price reached the high $25250 mark, but by the day’s end, the daily candle closed at the $23825 level. Thus, the long-wick rejection from $24450 to $25000 indicates the selling pressure is still intact.

Moreover, the coin price breakdown from $23825 signals the prior breakout as a bull trap. Today, the Bitcoin price trades at 23807 with an intraday gain of 1.23%. However, if the prices show sustainability below the $23825 mark, the coin holders may experience another correction phase. 

Also Read: CRYPTO TELEGRAM CHANNELS LIST 2023

The potential downfall may tumble the coin price by 5.5% to retest the $22500 support.

On a contrary note, interested traders looking for safe entry can look for opportunities above the $25000 barrier.

Technical Indicator

RSI: The daily RSI slope above the midline indicates the bullish sentiment is returning to bitcoin. 

Bollinger band: The coin price wobbling between the neutral line and upper band in the indicator reflects the buyers possessing an upper hand.

Bitcoin Price Intraday Levels

  • Spot rate: 23767
  • Trend: Bullish
  • Volatility: Medium
  • Resistance levels- $23825 and $24455
  • Support levels- $22500 and $21500

From the past 5 years I working in Journalism. I follow the Blockchain & Cryptocurrency from last 3 years. I have written on a variety of different topics including fashion, beauty, entertainment, and finance. raech out to me at brian (at) coingape.com

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

Source: https://coingape.com/markets/bitcoin-price-analysis-bull-trap-threatens-btc-holders-for-upcoming-correction/