Bitcoin prices saw bullish momentum last week but fell into a lull over the weekend.
The death cross warns of a price crash as a new consolidation range emerges.
A break below $26,000 could trigger a bearish rally driven by a death cross.
Amid the recent buoyant markets, Bitcoin price witnessed a notable rise of 2.74% last Tuesday. This rise further strengthened the bullish momentum, pushing Bitcoin price above the $26,600 mark, up an impressive 5.88% over the past week.
However, trading volumes slowed slightly over the weekend, suggesting less bearish sentiment, as reflected by the appearance of several red doji candles.
As we head into the new week, Bitcoin price refuses to bow its head, surging 0.51% intraday. Currently, it is trading at $26,670, forming an optimistic bullish candle, easing the minor pullback seen over the weekend.
A closer look at the 50-day and 200-day moving averages shows that convergence is imminent, foreshadowing the possibility of a death cross. Meanwhile, the upcoming resistance trendline hovers above the EMA interaction, acting as the next bearish hurdle for Bitcoin price.
Contrary to the daily chart, the 4-hour technical picture shows a high probability of a golden cross forming with the recent recovery. The Bitcoin price consolidation zone is fixed between $26,274 and $26,730. A breakout in either direction will fuel Bitcoin’s next big move.
However, the upside breakout is ready to face resistance at the resistance trend line and moving averages.
Technical indicators:
Relative Strength Index: The daily RSI is bullish as it bounces above the midline.
MACD: MACD and the signal line remain in a positive trend with a bullish histogram rising.
Therefore, the momentum indicators show a bullish outlook.
Where is the Bitcoin price heading?
The likelihood of a bullish breakout in the Bitcoin price trend has increased due to multiple lower price rejection candles. Considering that the range breakout rally has surpassed the resistance trendline breakout, BTC price could reach towards the $30,000 mark.
From the bottom, a break below $26,274 could result in a plunge to $25,600 or $24,900.