- Bitcoin has recently dipped below the critical support range of $67,000 to $68,000 after failing to maintain momentum above the $70,000 threshold.
- According to crypto analyst Josh, it’s imperative for Bitcoin to surpass this critical support soon to avoid transitioning into a bearish trend.
- Josh stated that failing to reclaim the $68,000 mark might lead to further declines, potentially reaching levels around $63,000 to $64,000 due to low trading volumes in that range.
Bitcoin faces critical resistance; analysis suggests $68,000 level is crucial for a bullish outlook.
Bitcoin Must Reclaim $68,000 to Avoid Bearish Trend
Crypto analyst Josh emphasized in his recent YouTube video that Bitcoin needs a decisive breakout above $68,000 to shift back into a bullish trajectory. Achieving this could propel Bitcoin towards higher resistance levels between $72,000 and $74,000. However, with Bitcoin currently trading below $67,000, the $67,000 to $68,000 area has turned into a significant resistance zone, according to Josh.
If Bitcoin fails to surpass the $68,000 mark shortly, it may experience further pullbacks down to the $63,000 to $64,000 level. Josh pointed out that this range sees a substantial amount of traded volume, indicating considerable support. However, he also mentioned the volume profile indicator that shows minimal traded volume between $66,000 and $64,000, paving the way for swift price movements to $64,000 if Bitcoin continues to drop.
Potential Short-term Movements
Josh proposed a scenario where Bitcoin could rise to approximately $67,000, tapping into significant liquidity and liquidating short positions in that vicinity. This coincides with the resistance level between $67,000 and $68,000. He warned that Bitcoin might experience a short-term bounce to this resistance but could be rejected unless it breaks above $68,000, signaling the end of the pullback.
Significant Price Movements Anticipated for Bitcoin
On examining Bitcoin’s four-day chart, Josh noted that the Bollinger Bands are compressing, suggesting a “major move” in the near future. He predicted that this move would be highly volatile, with Bitcoin potentially experiencing a 20% to 30% price fluctuation.
Long-term Outlook for Bitcoin
Josh also mentioned that on wider timeframes, Bitcoin continues to trade within a large consolidation pattern typical during a broader bullish trend. This implies that Bitcoin is still not near its market peak despite recent price declines. Projections from other analysts, such as CrediBULL Crypto, forecast that Bitcoin could still surge to $100,000 in the ongoing market cycle.
Analyst Rekt Capital also predicted these price corrections during the current bull run. He suggested that Bitcoin would dip sufficiently to make investors doubt the bull market’s continuation before resuming its uptrend.
As of the most recent data, Bitcoin is trading at around $65,400, showing a 1% decrease over the past 24 hours, according to CoinMarketCap.
Conclusion
In summary, Bitcoin’s current price action underscores the importance of breaking above the $68,000 resistance level to revert to a bullish trend. Analysts predict potential volatility and significant price swings in the short term, while long-term projections remain optimistic, highlighting the possibility of Bitcoin reaching new highs within this market cycle.
